Emerging markets equity investors took a beating in 2011, as rising inflation in these economies and a quest for liquidity in the developed world conspired against them. But the tide has turned, and now might be the time to pile back in.

Yields may be at record lows, but bonds still serve as a valuable counterbalance to “bad events” that can occur in a portfolio.

As bleak as it all looks, investors must recognize that the global economy is chugging along quite nicely. Tuning out the noise has never been more important.

Despite growing bullish calls on the U.S. equity market, doubts still hang over the global investing landscape. Fiscal austerity throughout the developed world will challenge investors.

Since 2008, investors have been wary of U.S. equities, seeking safe harbour in bonds or setting out for more exotic ports overseas. But the tide may slowly be turning to favour U.S. equities, which is just fine for those who rode out the storm.