Who has benefited most from the period of monetary easing that the Federal Reserve started last August? For investors, there is a surprising but clear answer: Latin America.

The MSCI World index of developed economies is up 1.3 per cent from its nadir on August 17, when the Fed jolted markets by cutting its discount rate. MSCI’s emerging markets index is up 24.7 per cent. But India and China have suffered sharp corrections, and the rise is mostly attributable to Latin America, which, according to MSCI, has gained 43.5 per cent during the easing cycle.