Emerging market currencies refer to currencies used in rapidly growing or developing countries and even outperform G10 currencies in some cases. Compared to major currencies, they are sometimes associated with lower liquidity and are prone to more volatility. 

Some of the more commonly used emerging market currencies include the Brazilian real (BRL), Indian rupee (INR), Chinese renminbi (CNH) and South African rand (ZAR), all of which are available with a SwissFx multi-currency account.

How emerging market currencies differ 

Compared to major currencies, exchange rates for emerging market currencies often include higher conversion costs and are less widely available. Strategies used for the challenges associated with emerging market currencies include the use of forward contracts and non-deliverable forwards where appropriate.