The fund seeks capital appreciation in the long term and current income by investing in companies in the developing world.
The fund prefers a multi-manager investing approach to manage its assets. Under this approach, the portfolio of the fund is divided into segments managed by individual managers.
The investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.
The investment team considers an issuer to have significant economic exposure to a developing country if at least 50% of its assets are located in a developing country or at least 50% of its total revenues or profits are derived, or, in the opinion of the investment adviser, are expected to be derived, from goods or services produced or sold in a developing country.
Next, the research team prefers companies exhibiting growth potential and dividend-paying capacity.
In addition, the team focuses on companies with attractive valuations.
Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.
The fund may invest in both growth- and income-oriented stocks and debt securities.
The fund may also invest in securities of foreign issuers in the form of depositary receipts or other instruments by which the fund may obtain exposure to equity investments in local markets.