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Developed markets

The group of countries with long-established exchanges, free movement of capital and deep liquidity.

How to read the number

The criterion is market plumbing rather than national wealth: settlement, access for non-residents, creditor protection and trading volume.

When the metric lies

Classifications change, and moving a country between groups forces index-tracking funds to buy or sell whether or not anything happened to the companies.

Also known as: developed market group

Related terms