-Diversify your portfolio.
-Take advantage of inefficiencies in the global capital markets.
-Get in on the ground floor of an embryonic market, with new opportunities continually developing.
Analysis, both economic and political, is the key to being successful in this arena. In addition to crunching numbers, you need to abstract political information, and assess risk. While difficult to quantify, in many situations you don't have to be a political scientist, to quickly decide what markets to avoid. All you need to do is pick up the paper or turn on the news.
But not all emerging markets are spiraling out of control like Argentina, the Middle East, Pakistan/India, Afghanistan, etc. For the rest of the developing world, the deciding factor between stability and instability might be as simple as how the government and its constitution are structured. This is an area where political analysts earn their keep, i.e. by closely examining local political situations that are not in the middle of a crisis.
SS&C's suite of products can help you manage your emerging market investments. Our trade order management system Antares can model and process your trades, and in conjunction with our compliance module, Compliance Monitor, let you set trading parameters, restrictions and thresholds. CAMRA can process your accounting, valuation and reporting requirements and interface with various indices.