Last summer,
emerging market equities lost 25 % of their value in less than two months.
Now, contrast with 2008: U.S. equities lost 17 % (small caps) and 21 % (large caps), global equities lost 25 %, global small caps lost 28 %, Canadian equities lost 31 % (large caps) and 46.6 % (small caps), European equities lost 32.5 %,
emerging markets equities lost 41.4 %, and BRIC equities lost a whopping 49 %.
Not exact matches
Although US
equities have shown us double digit gains this year, an investor in an asset like the Vanguard
Emerging Markets fund has
lost 14 % of their money on a price basis through August.
Though
emerging market equities have recently
lost some ground thanks to volatility in China, they're still up over the longer term compared to their own history.
Emerging market equities, as an asset class, was the second - worst performer, as seen in Figure 1,
losing 3.7 %.
Anyway, I might disagree with your whole thesis, regardless —
emerging markets are no more dangerous than developed
markets: Yes, people always fearfully imagine
losing 100 % of their investment in an
emerging market — and v rarely that can happen — but they prefer to ignore the fact that in the credit crisis, on their own doorstep, they
lost all their home
equity, 50 % of their stock portfolio, and the rest was confiscated in taxes & unsustainable future tax / entitleement / debt burdens...