Daily Gains Letter

Frontier Markets

While there is no absolute definition for frontier markets (or pre-emerging markets), the term generally refers to countries that are in their early stages of development. Countries that are considered frontier markets include Argentina, Kenya, Pakistan, Qatar, and Vietnam.

Many view frontier markets as being an attractive opportunity for long-term economic growth and strong return potential. At the same time, because frontier markets are in the early stages of growth, they are susceptible to greater risk. Some investors are attracted to frontier markets because they are in a similar stage as emerging markets were in the second half of the 20th century.