5 Reasons to Buy Emerging-Markets Stocks Now

These stocks are selling well below their 2011 highs. It's a great time to buy.

Emerging-markets stocks are dirt-cheap. That makes this a terrific time to invest in them. There's no telling which way they'll head in the short term. But economies of developing nations remain the world's fastest growers, and that means that over the long haul, emerging-markets stocks should deliver compelling returns.

Consider the anticipated growth rates of the developing and developed world. Next year, emerging economies will grow by an average of 5.7%, Moody's Investors Service estimates. By contrast, Moody's expects the 20 largest developed countries to grow just 2% in 2013.

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Steven Goldberg
Contributing Columnist, Kiplinger.com
Steve has been writing for Kiplinger's for more than 25 years. As an associate editor and then senior associate editor, he covered mutual funds for Kiplinger's Personal Finance magazine from 1994-2006. He also authored a book, But Which Mutual Funds? In 2006 he joined with Jerry Tweddell, one of his best sources on investing, to form Tweddell Goldberg Investment Management to manage money for individual investors. Steve continues to write a regular column for Kiplinger.com and enjoys hearing investing questions from readers. You can contact Steve at 301.650.6567 or sgoldberg@kiplinger.com.