Emerging Market Small-Cap Stocks: What’s the Story?

June 19, 2012 | Tom Salemy, CFA, CAIA, Partner

By now, most investors are familiar with emerging market stocks and their benefits to overall portfolio performance. Favorable demographics, urbanization, escalating levels of wealth, and rising consumer spending are all long-term secular trends that have emerged as compelling reasons to include emerging markets in institutional portfolios.

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Tom Salemy, CFA, CAIA
Partner

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The opinions expressed herein are those of Marquette Associates, Inc. (“Marquette”), and are subject to change without notice. This material is not financial advice or an offer to purchase or sell any product. Marquette reserves the right to modify its current investment strategies and techniques based on changing market dynamics or client needs.

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Column chart showing weight in MSCI Emerging Market Index for Taiwan, South Korea, and China annually since 2006. Taiwan hovered around 11% up to 2021, and has increased since then, with 2026 YTD at 26.5%. South Korea has followed a similar path, averaging about 14% 2006 to 2023; 2024 dropped to 9%, but 2025 was back up to 13.3%, and its weight has jumped to 23.1% YTD. China generally increased up to 2020, peaking at 29.7% of the index, but has since mostly decreased year to year, with 2026 YTD at 19.7%. For full dataset, please contact marquettemarketing@marquetteassociates.com.

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