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🇨🇭 Switzerland /Economy & Trade

Despite the shocks, emerging markets are surging

From Le Temps · () French

Translated from French and summarized by DistantNews. Read the original for the full story.

At a glance

Analysis Sources not specified Context piece
  • Emerging-market stocks and bonds have outperformed developed-market assets, with the MSCI Emerging Markets index gaining 35% in 2025 compared with 21% for its global counterpart.
  • The emerging-markets index has risen 24% since the start of 2026, compared with 13% for the developed-markets index.
  • The performance is prompting some specialists to reconsider the traditionally limited allocation to emerging-market assets.

Emerging markets have long carried a three-word reputation among investors: volatility, risk and, sometimes, high returns. Western investors typically devote only a small share of their strategic allocations to the asset class, which can give portfolios an extra boost.

That cautious approach is beginning to look less settled after the strong performance of stocks and bonds across the Global South. The MSCI Emerging Markets index, one of the key benchmarks in the category, ended 2025 up 35%.

Its global counterpart, covering 23 advanced economies, gained 21% over the same period. Since the start of 2026, the emerging-markets index has added 24%, compared with 13% for the developed-markets benchmark.

The reasons for the shift are described as both structural and temporary. Faced with the scale of the gains, a growing number of specialists are very slowly beginning to reconsider how much space emerging markets should occupy in investor portfolios.

About this summary

Originally published by Le Temps in French. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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