Emerging market stocks Despite a recent surge, emerging markets still offer a good bang for your buck.The s 500 is trading at about 17 times expected earnings.Compare that to the msci emerging markets index, which is only trading at 13 times earnings.A popular fund, the ishares msci emerging markets etf(Eem), is up 6% in the past month alone. "They are relatively inexpensive in a world where there are few bargains,"Says jeff kleintop, chief global strategist at charles schwab. Many people buy into the idea that countries like china and brazil will grow their middle class substantially in the coming years, but the reason to purchase emerging market stocks right now is all about oil. Oil opportunity:Plunging oil and other commodity prices do hurt some countries like russia, but the majority of emerging market nations now import more oil than they export.That means low oil prices are good for many emerging countries and their businesses. The tide has turned for the heavyweights, like china, india, south korea and taiwan.Stocks in those countries make up about half the value of the emerging market index and the companies are much more consumer focused now than in the past, experts say. "For many [emerging] countries, especially the asian economies, the energy decline is a tailwind, it's a positive,"Says audrey kaplan, senior portfolio manager at federated investors inc.Dollar hurts emerging markets. When the dollar gets stronger, other foreign currencies lose value.A weaker currency sounds bad, but it actually helps increase the value of emerging markets in two ways:Trade and debt. Emerging countries can produce goods even more cheaply and sell them to america for a higher profit.Take turkey, for example.Its currency, the lira, has lost a michael kors bags outlet lot of value in recent years compared to the dollar and euro.That helps turkish goods look cheap in western europe. "It's a growth story.Earnings and sales revisions are increasing because its currency depreciated so significantly,"Kaplan says.Turkey is,"An export economy.Dollar was getting stronger.Dollars.A stronger dollar made their debt michael kors sale australia more expensive. Countries got smarter.Now the majority of emerging nations' debt is in local currency, according to the international monetary fund.Dollar is going up. Central banks across emerging markets have michael kors online outlet positioned their economies to better withstand future volatility in commodities and currency, experts say. "They no longer feel the pinch when the dollar goes up,"Kleintop says. "They've become much more like they're developed country peers. " Related:China pumps $100 billion into banks to boost economy 2015 rush:There could be a major uptick in money for emerging market stocks this year, according to evestment, a data analytics company in atlanta that tracks stock movements.They estimate that investment into those stocks this year will be $50 billion more than four times higher than last year. Owning individual stocks traded on exchanges in china, india and other nations is getting easier.China launched a pilot in 2014 to allow more foreign investors to purchase shares on the shanghai stock exchange, but the majority of investors gain exposure to emerging markets through a mutual fund or an etf that tracks an index such as the msci emerging markets. "People have to look towards emerging markets for higher growth and higher returns,"Over the long term, says nick smithie, chief investment strategist at emerging global advisors in new york. Cnnmoney(New york)February 6, 2015:10:32 AM ET Most stock quote data provided by bats.Market indices are shown in real time, except for the djia, which is delayed by two minutes.All times are et.Disclaimer.Morningstar:2015Morningstar, Inc.Factset:Factset Research Systems Inc.2015.Chicago mercantile association:Certain market data is the property of chicago mercantile exchange inc.And its licensors.Dow jones: TheDow jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of SDow jones Indices LLC and have been licensed for use to S Opco, LLC and CNN. Standard Poor's and S are registered trademarks of Standard Poor's Financial Services LLC andDow jones is a registered trademark ofDow jones Trademark Holdings LLC. All content of theDow jones branded indices SDow jones Indices LLC2015 and/or its affiliates.

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