Record wave of emerging-market IPOs meets investors wary of risk

A record-breaking number of emerging-market companies made their public debuts in 2021, just ahead of what should be a tough year for equity investors.
 

While the price of most newly issued stocks has risen since their IPOs, the benchmark gauge of developing-economy stocks just wrapped up its worst year since 2018. That suggests appetite for the risk assets is dwindling, with quick-spreading virus variants and higher interest rates set to further challenge equities in coming months.

Those headwinds were far from investors’ minds as higher capital needs and hope for a global economic recovery led 1,161 companies from emerging markets to