@article {Masters96, author = {Seth J. Masters}, title = {Emerging Markets}, volume = {28}, number = {3}, pages = {96--101}, year = {2002}, doi = {10.3905/jpm.2002.319847}, publisher = {Institutional Investor Journals Umbrella}, abstract = {Emerging markets investors face annual investment costs that the author estimates at between 2\% and 5\% annually. At these levels, the costs are enough to alter the balance between potential reward and risk. The author examines three types of investment costs{\textemdash}transaction{\textendash}related costs, operating costs, and investment management fees{\textemdash}and a variety of strategies that investors can use to help reduce or control these costs. The benefits and limitations of various approaches are examined, including reducing turnover, purchasing non{\textendash}domestic shares, altering country allocations, using alternative investment vehicles, and indexing. The author advocates a combination of several cost{\textendash}limiting strategies combined with active management as the most cost{\textendash}efficient approach to investing in the emerging markets.}, issn = {0095-4918}, URL = {https://jpm.pm-research.com/content/28/3/96}, eprint = {https://jpm.pm-research.com/content/28/3/96.full.pdf}, journal = {The Journal of Portfolio Management} }