The chart below shows the relationship between the Fidelity Emerging Markets Fund (FEMKX) and the Fidelity Spartan 500 Index Fund (FUSEX) by plotting the ratio of the two over the last two years. The declining line is an indication of the continuing underperformance of emerging markets compared to U.S. equities.
Taking a closer look at the chart of FEMKX helps us understand the underperformance. While U.S. equities are currently in a strong bull market, the FEMKX chart looks anything but bullish.
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