The fund seeks capital appreciation in the long term by investing in companies across any size outside the United States.
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.
Next, the research team focuses on securities of emerging market companies, and in other instruments, principally derivatives and shares of investment companies (including exchange-traded funds, that have economic characteristics similar to such securities.
The team considers a company to be an emerging market company if at least 50% of the company’s assets are located in emerging or frontier market countries, or at least 50% of the company’s revenue is generated in emerging or frontier market countries, or the company maintains its principal place of business in an emerging or frontier market country.
In selecting securities for the portfolio, the research team utilizes a growth at a reasonable price strategy to identify countries, sectors and companies with attractive risk/return profiles.
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.
Also, the fund invests in at least three emerging or frontier market countries.
From time to time, the fund may focus its investments in a particular country, and may invest in A-Shares of companies based in China through the Stock Connect programs.
The fund may also invest in private placements; rights and warrants; and depositary receipts.
