As the BRICS (Brazil, Russia, India, China, South Africa) grouping prepares to become BRICS+ and add six new countries to its ranks at the beginning of 2024 – it is an interesting exercise to look back at which of the BRICS has done best in stock market terms over the last decade.

For obvious reason we have set aside Russia. Of the remaining quartet and using the relevant MSCI index for each country, over the last 12 months the winner is Brazil. The company’s position as a major commodities exporter has served it well during a period of high prices and inflationary pressures.

This means it also scores well on a three-year view but the best annualised return over that timeframe has been chalked up by India. A combination of strong growth, positive demographic drivers and economic reforms have helped power Indian stocks to record highs as it became the world’s fourth most valuable equity market.

Over 10 years India is the clear winner, too – powered by companies like conglomerate Reliance Industries (RELIANCE:NSE) and IT outfit Infosys (INFY:NSE).

Despite a difficult 12 months for the Chinese stock market, China comes in second place for 10-year performance as innovation in areas like e-commerce and electric vehicles has helped unlock potential in the world’s second largest economy.

This outlook is part of a series being sponsored by Templeton Emerging Markets Investment Trust. For more information on the trust, visit www.temit.co.uk

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