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Definition: Countries in the world that are expected to experience lots of growth. Investing in these countries has lots of potential for big returns, but it also carry lots more risk than typical domestic investing.
TeenAnalyst Advice: There's certainly a lot of potential to make money in other countries but there's two inherent risks?
1.) You're investing in their economy. This means that your money is susceptible to their inflation rates and currency fluctuations.
2.) Political conditions often make it hard to foresee the future of a business in an emerging market.
With these in mind, proceed to invest in emerging markets only if you have a strong understanding of their economy and international investing.
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