The ability to wisely invest in an emerging market is one of Kelechi Okereke's many skills. His time spent in the financial industry has taught him many real-world and practical facts about emerging markets, an area that is foreign to many new investors. The following information will help others understand exactly what an emerging market is and why they are considered good investment opportunities.
- In the simplest terms, an emerging market is any country with an economy that is growing rapidly, especially one that is demonstrating a fast growth through industrialization, but have lower standards of living as, defined through GDP per capita, than their developed market counterparts. These countries offer securities markets, trade-able assets, which are almost to the level of other nation's that are considered “developed”.
- Investment into an emerging market is similar to getting in at the ground level of a very promising domestic company. In years past, the emerging market has been untapped which means that the products and services they offer will likely become high-demand items in the near future.
- Areas that are not yet considered emerging markets, but rest on the cusp of becoming so, are called frontier markets. These are more volatile and not invested in as often.
- Countries and regions which are deemed as established markets include the United States, Japan, and portions of Europe. Current emerging markets that are watched closely by financial experts like Kelechi Okereke are large portions of Africa and Asia, Latin America, Eastern Europe, and countries in the Middle East. The strongest emerging markets are Brazil, Russia, India, and China, which are referred to as BRIC.