Australia Global Emerging Markets Equity

Our philosophy and process

  • The strategy seeks to invest in companies that are well governed and run for the benefit of all shareholders. It can also invest a proportion of assets in developed-market companies where business is driven by emerging-market operations.
  • ESG considerations are integrated throughout the research process and via proprietary quality reviews, to ensure that any material issues are captured.
  • The strategy has a long-term investment horizon. It focuses on balance-sheet strength and return-on-capital metrics.

Every time we consider a security or look at an industry or country, it’s in the context of what’s happening across the world. We believe the investment landscape is shaped over the long term by some key trends, and we use a range of global investment themes to capture these.

Earth matters China influence State intervention Smart revolution

Investment team

Our Global Emerging Markets Equity strategy is managed by an experienced team. Our global sector analysts and investment managers are located on a single floor in London, which helps to ensure that the investment process is flexible and opportunistic. Guided by our global investment themes, the team works together to identify opportunities and risks through research and debate.

21
years’ average investment experience
12
years’ average time at Newton
  • Jeff Munroe
    Jeff Munroe

    Investment leader, global equities

  • Paul Markham
    Paul Markham

    Portfolio manager, global equities

  • Simon Nichols
    Simon Nichols

    Portfolio manager, UK equities

  • Charles French
    Charles French

    Head of Equity Opportunities

  • Yuko Takano
    Yuko Takano

    Portfolio manager, global equities

  • Louise Kernohan
    Louise Kernohan

    Portfolio manager, UK equities

  • Paul Birchenough
    Paul Birchenough

    Portfolio manager, equity opportunities

  • Ian Smith
    Ian Smith

    Portfolio manager, equity opportunities

Strategy profile

Objective

To achieve long-term capital growth through investing in emerging market securities.

Comparative index:

MSCI Emerging Market Index (NDR)

Performance aim:

To outperform the comparative index in excess of 3% p.a. over a rolling five year period

Typical number of equity holdings:

40 to 70

Strategy size:

A$3.3bn (as at 30 June 2021)

Strategy inception:

May 2011

India: Ready for a China-Style Takeoff?
Blog

India: Ready for a China-style take-off?

We assess India’s prospects of emulating the recent rapid growth trajectory of China.
Ian Smith
13 April 2021
Emerging markets & Asia, Sector research
Navigating the debt mountain
Blog

Navigating the debt mountain

As the global pandemic fallout continues, we assess the relative merits of developed and emerging-market debt.
Trevor Holder
03 November 2020
Coronavirus, Emerging markets & Asia, Fixed income
Doing the right thing: ESG and EMD
Blog

Doing the right thing: ESG and EMD

We analyse the importance of sound governance and disciplined ESG analysis when selecting emerging-market government bonds.
Carl Shepherd, Trevor Holder
27 July 2020
Emerging markets & Asia, Fixed income, Responsible investment, Sector research
Latin American spring?
Blog

Latin American spring?

As street protests spread across the region, is Latin America approaching a tipping point?
Carl Shepherd
05 December 2019
Emerging markets & Asia, Fixed income

Your capital may be at risk. The value of investments and the income from them can fall as well as rise and investors may not get back the original amount invested.

Key investment risks

  • There is no guarantee that the strategy will achieve its objective.
  • This strategy invests in international markets which means it is exposed to changes in currency rates which could affect the value of the strategy.
  • A fall in global emerging markets may have a significant impact on the value of the strategy because it primarily invests in these markets.
  • The strategy may use derivatives to generate returns as well as to reduce costs and/or the overall risk of the strategy. Using derivatives can involve a higher level of risk. A small movement in the price of an underlying investment may result in a disproportionately large movement in the price of the derivative investment.
  • The strategy invests in emerging markets. These markets have additional risks due to less developed market practices.
  • A fall in the value of a single investment may have a significant impact on the value of the strategy because it typically invests in a limited number of investments.
  • The strategy may invest in small companies which may be riskier and less liquid (i.e. harder to sell) than large companies. This means that their share prices may have greater fluctuations.