Emerging Markets

"You may know what "emerging markets" are; if you do, it's a tribute to Wall Street Marketing. Bond salesmen are very clever at inventing deception names for risky bons to make them seem more desireable. One example is the ill-favoured "junk bond" of the 1980s, which is now euphemistically called a high yield bond. Another example is emerging markets.


"It wasn't clear what "emerging" meant, or how these markets might "emerge". Still it sounded awfully good, and it helped cloud the fact that the emerging bond an investor bought acutally was a Peruvian loan that hadn't paid any interest since the 1800s."

Two quotes from Frank Partnoy's 'F.I.A.S.C.O.'