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Since the 2008 financial crisis, many emerging-market governments have gradually been building up resilience to external shocks and domestic volatility. For global investors, that means reconsidering many longstanding assumptions about emerging markets, while also assessing the new risks.

LONDON – One truism of the last three decades is that emerging markets are a leveraged play on global growth: they outperform when developed economies are growing, but they are susceptible to sharp downturns when global conditions are less favorable. This more or less remains true. But when considering emerging-market investment opportunities in the years ahead, one must also understand the changes that have followed developed-market financial crises and a larger shift in the geopolitical landscape.