Emerging markets: The comeback kid of 2014?

Adek Berry | AFP | Getty Images

An Indonesian man waits for customers at a street money changer in Jakarta on August 28, 2013.

Emerging markets are getting a beating right now, but the tattered asset class could be poised to become the "comeback kid" of 2014, some analysts say.

Investors with a long-term horizon should look at investing in emerging markets, analysts at Bank of America Merrill Lynch (BofAML) said in a note released on Friday, although they added that the current turmoil was a reason to be cautious heading into September.

(Read more: If August was bad for stocks, September may be worse)

"While policy makers have yet to panic sufficiently for an inflection point in global risk, an improving long-term, risk-reward trade-off could make emerging markets the comeback asset class of 2014," the BofAML analysts said.

(Read more: Will India resort to buying gold from its citizens to ease rupee crisis?)

The MSCI emerging market index has shed about 13 percent since late May and has tumbled about 5 percent in just over two weeks. The Indian rupee, meanwhile, dived to a new record low against the dollar this week and the Indonesian rupiah hit its lowest level in more than four years.

Mirza Baig, head of foreign exchange and interest rate strategy at BNP Paribas, told CNBC earlier this week that he thought emerging countries should stop trying to defend their currencies and allow them to fall, paving the way for an export-led recovery next year.

(Read more: India's rupee surges on currency intervention)

"After this we will have cheap assets and an export-led recovery," he said, "They [central banks in emerging markets] should just let the currency go, let it find its value and have an export-led recovery next year."

Currency weakness would give exporters a competitive edge in overseas markets. Already, some emerging markets are seeing benefits from currency weakness, notably Brazil's agriculture sector.

The Brazilian real has shed about 15 percent of its value so far this year. On the other hand, India's rupee is the world's worst performing currency this year with a fall of 21 percent against the dollar.

"We are in a slightly worse situation right now – inflation is higher, growth is weaker, we've adjusted to the fact that China's growth is not going to be double digits. The reality checks have been kicking in for a while," David Mann, head of regional research at Standard Chartered Bank, told CNBC Asia's "The Call" on Friday.

"But when the dust settles, what are we left with? We are seeing relatively attractive currencies," he added.

— By CNBC.Com's Dhara Ranasinghe; follow her on Twitter @DharaCNBC