GLOBAL EMERGING MARKETS STRATEGY

Martin Currie has been investing in dedicated global emerging markets portfolios since 1991. We believe we have one of the most experienced teams in the industry, with a transparent and disciplined investment approach that is globally competitive.

THE OPPORTUNITY

Emerging markets offer a wide and diverse opportunity set for investors and the long-term drivers for the asset class remain compelling. Long-term growth expectations are supported by solid fundamentals such as increasing industrialisation, supportive demographics, improving governance and economic reform.

Many emerging-market companies are already dominant in their industries, and are challenging for dominance in many more. The challenge for investors is to translate this competitive advantage into real, sustainable returns.

We believe that active equity investment in emerging markets requires experience, deep resources and an understanding of the global, regional and local dynamics that influence investment returns.

INVESTMENT PHILOSOPHY

Our overarching investment philosophy is that building stock-focused portfolios, driven by fundamental research, is the best way to exploit market inefficiencies and generate consistent outperformance. Our philosophy for investing in emerging markets is based on a number of beliefs: 

  • The market frequently misprices long-term economic value creation 
  • We can identify mispricing through fundamental company research 
  • Sustainability risks and opportunities directly impact long-term economic value creation 
  • A high-conviction, stock-driven portfolio exhibiting these characteristics will outperform over the long term 

Ultimately, we believe that markets are inefficient at pricing in value creation beyond the short-term. By creating our own long-term forecasts of individual company profits we can exploit the market’s inefficient pricing of longer-term cash flow.