Emerging Financial Markets: Characteristics and Factors that Attract Investors

Abstract

This paper aims to highlight the most important secretions of financial globalization and financial liberalization, namely emerging financial markets, by clarifying the most important characteristics compared to developed markets, and to clarify the most important factors that led to the inflows of foreign investments of emerging countries. At the end of this study we reached a number of results. We concluded that despite the significant development of the market value of companies in the emerging financial markets, they remain far from developed markets, we have also concluded that emerging financial markets are attractive to foreign investments for several factors which has led to growth, but these investments may also be very risky, especially when there is a reverse flow of these investments.

JEL classification: F21, G10, G15

Article source: https://www.asjp.cerist.dz/en/article/122513