Emerging market equities took an even harder beating than those of developed countries last year as investors lost their stomach for risk and pulled out of funds. But as some semblance of risk appetite returns, these markets are beginning to rise once again.

Global emerging markets have been been gaining steadily so far this year. In China, the Shanghai Composite index has climbed 39 per cent, Russia's RTS index has risen by 28 per cent and Brazil's Bovespa has gained 21 per cent. The BSE Sensex in India is up a more modest 14 per cent.

These markets were bolstered earlier this month when the leaders of the G20 met in London and pledged $1,000bn (￡670bn, €759bn) to the International Monetary Fund to help ease the effects of the global recession in emerging markets.