Emerging markets have made a comeback since this summer despite the latest slump in EM equities due to Donald J. Trump’s presidential win.
Some asset managers, such as NNIP’s Ewout van Schaick prefer EM equities, while Joshua Crabb from Old Mutual Global Investors will continue to focus on the Asian equity opportunities.
Against such a backdrop, Citywire Asia gathers the top four EM equities managers in one editorial piece according to their total returns over the past one year from October 31, 2015 to October 31, 2016.
All the managers' total returns figures are compared to the average manager's total return figure of 8.28% over the past one year.
They are available for sale in Singapore and/or Hong Kong.
*All returns are in US dollar terms.
4. Mark Mobius
Fund group: Franklin Templeton Investments
Fund: Templeton BRIC A (acc) USD
Total returns: 16.96%; 5/164
The fourth prize in the global emerging market equities sector goes to Mark Mobius, executive chairman and fund manager at Franklin Templeton Investments.
Mobius co-manages the fund with Dennis Lim for the Luxembourg-domiciled fund.
The 2005 launched fund is available for sale in both Singapore and Hong Kong.
As of September 30, the fund’s top three holdings were Tencent Holdings (10%), China Mobile (5.4%) and Naspers (4.5%).
The fund invests primarily in equity securities of companies organised under the laws of or with their principal office in Brazil, Russia, India and China, including Hong-Kong and Taiwan or which derive the principal portion of their revenues or profits from BRIC economies or have the principal portion of their assets in BRIC economies.
3. Niall Paul, AA-rated
Fund group: TT International Funds
Fund: TT Emerging Markets Equity A1 USD
Total returns: 19.28%; 4/164
The second runner-up of this sector is Niall Paul, a manager from TT International Funds.
The Ireland-domiciled fund is available for sale in Singapore. It was launched in 2011 March.
The TT Emerging Markets Equity fund aims to outperform its benchmark, MSCI Emerging Markets Index, by 3-4% per annum over a three year rolling period.
It targets high returns and generates long term capital growth by investing in a diversified portfolio of primarily equity and equity-related securities traded in Emerging markets.
2. Robert Arnott; Mohsen Fahmi
Fund group: Pimco
Fund: PIMCO GIS RAE Fndm EM E USD Acc
Total returns: 20.99%; 2/164
Pimco’s Robert Arnott and Mohsen Fahmi as a team becomes a first runner-up in this category.
The fund, launched in June 2015, is domiciled in Ireland and available for sale in Singapore.
The fund’s top three sector were financials (23.7%); energy (7.3%) and materials (6.4%) as of September 30.
The fund seeks to achieve a total return which exceeds the total return performance of the fund's benchmark, the MSCI Emerging Markets Index. It typically invests in equity securities of emerging market companies.
1. Nick Timberlake, + rated
Fund group: HSBC GAM
Funds: HSBC GIF Global Emerging Markets Equity AD USD; HSBC GIF BRIC Equity M1C USD; HSBC GIF BRIC Markets Equity AC USD
Total returns: 22.44%; 1/164
Nick Timberlake from HSBC Global Asset Management is the winner of the global emerging market equities category.
Three funds are domiciled in Luxembourg. HSBC GIF Global Emerging Markets Equity AD USD and HSBC GIF BRIC Equity M1C USD are available for sale in Hong Kong and Singapore. HSBC GIF BRIC Markets Equity AC USD, a sub-fund of HSBC GIF BRIC Markets Equity EC USD, is available in Hong Kong.
HSBC GIF Global Emerging Markets Equity fund’s top three holdings included Taiwan Semiconductor Manufacturing (5.7%); Samsung Electronics (4.2%) and Tencent Holdings (3.9%) as of September 30.
By the end of September, HSBC GIF BRIC Equity fund’s top three holdings were Sberbank of Russia (5.7%), Tencent Holdings (5.5%) and Lukoil Oao (4.5%).
As of September 30, HSBC GIF BRIC Markets Equity fund’s top three holdings were Sberbank Pao (5.5%), Tencent Holdings (5%) and Lukoil Oao (4.6%).