Financial Investments in Emerging MarketsThe objective of the present paper is to provide a synopsis of the recent evolutions in theforeign investments in emerging economies. Several institutional and functionaldeterminants of foreign capital and direct investments are highlighted and somecomparative advantages and risks associated with these investments are analyzed. The mainoutcome of the study consists in the thesis according to which the emerging economiesneed to improve their overall economic and social performances in order to atract and tobenefit from more stable inflows of foreign capital.