TY - JOUR T1 - Returns and Pricing in Emerging Markets JF - The Journal of Investing SP - 45 LP - 56 DO - 10.3905/joi.2004.391041 VL - 13 IS - 1 AU - Harri Ramcharran Y1 - 2004/02/29 UR - https://pm-research.com/content/13/1/45.abstract N2 - This study estimates the significance of price-to-book, price-to-earnings, and market size as determinants of equity returns of 21 emerging equity markets over 1991–2000. Cross-sectional data indicate the significance of the P/BV ratio and market size, but pooled data results show the significance of only P/BV; these findings are similar to results in developed markets. Additional estimates confirm the insignificance of P/E ratio, thus proving the P/BV is a better predictor of equity returns. This study provides further insight into the discussion on the choice between P/BV and P/E. ER -