How foreign is your foreign stock fund, really?
Although the developed world has been stuck in terms of pushing through economic reforms, the developing world is progressing, said Justin Leverenz, who runs the Oppenheimer Developing Markets fund.
Worries have been rising about slowing economic growth in China, but Leverenz said he is optimistic growth will continue. He sees big opportunities particularly in Chinese online-video companies given the size of the country's market.
As a group, emerging-market stocks look cheaper than those from developed markets based on their earnings. "But then you have to look at what you're getting for that price," said David Herro of the Oakmark International fund.
The cheapest stocks are natural-resource companies that are under heavy influence from their respective governments or banks with weak assets. Herro said he prefers to benefit from the rising living standards of people in emerging markets by investing in brands that appeal to them, such as BMW.