Xavier Hovasse, Head of Emerging Equities & Fund Manager
Fund: FP Carmignac Emerging Markets
Carmignac EM Equity Views & Opportunities For 2021 & Beyond
2020 turned out to be a very good year for Emerging Markets. After such a positive year, we can ask ourselves if this can continue in the coming quarters or is the move already behind us and it is too late to invest into EM? Is the cyclical rotation in markets calling for a change in EM portfolio allocations going forward? Xavier Hovasse, Head of EM Equities & Fund Manager at Carmignac will discuss the opportunities and risks for EMs along with his favorite investment themes for 2021 & beyond.
Michael Bourke, Fund Manager, M&G Investments
Fund: M&G Global Emerging Markets Fund
Global Emerging Market equities – the trade of 2021
Emerging market equities are riding high, fuelled by optimism about coronavirus vaccines and a rebound in economic activity. In this session, Michael Bourke, Fund Manager of the M&G Global Emerging Markets Fund, will explain why he is excited about the outlook for emerging market stocks this year and beyond. He will provide a brief overview of the fund’s distinctive, ‘value'-focused approach to investing and discuss the attractive opportunities he sees among value stocks currently. The COVID-19 crisis accelerated the trend for ‘growth’ investing, but with vaccines offering the prospect of a return to normal, Michael believes this could encourage investors to look again at value stocks which struggled previously.
Morgan Stanley Investment Management
Matthew Murphy, Senior Institutional Portfolio Manager
Fund: Eaton Vance Emerging Markets Debt Opportunities Fund
A review of Emerging Markets Debt
Just over a year has passed since global capital markets hit their Covid-19-induced nadir. Global growth is returning with a vengeance as unprecedented stimulus measures provide ongoing support while the worldwide vaccination program proceeds. Most asset prices have responded positively as well, with interest rates off of their lows, credit spreads tighter, and equity markets aiming for new highs. This relief rally has not benefitted all markets equally however. Emerging markets debt has yet to respond to the positive developments as spreads remain elevated and currencies remain near their panic-stricken lows of 2020. Is it appropriate that investors’ reasons to fear are overweighing the reasons to cheer? Eaton Vance will address both sides of the argument, drawing on their decades of experience managing emerging markets debt through multiple market cycles.
Raj Shant, Managing Director and Portfolio Specialist at Jennison Associates, a PGIM Business
Fund: PGIM Jennison Emerging Markets Equity Fund
NEXT Economy: How disruptive companies are reshaping the emerging markets equity landscape?
The pandemic caused a dramatic acceleration in long term secular trends, including shifts towards e-commerce, digital payments, and cloud services. Growth stocks started 2021 strong before wavering as investors rotated towards cyclicals as vaccines rolled out. During his session, Raj Shant, Managing Director and Portfolio Specialist at Jennison Associates, PGIM’s specialist in fundamental growth equity investing, will discuss the ongoing face-off between value and growth, rapid pace of disruptive innovation, and why emerging markets are rapidly expanding epicentres of opportunity. He’ll also explain how the team is positioning the PGIM Jennison Emerging Markets Equity Fund to take advantage of growing secular trends and the importance of ESG considerations when evaluating high growth companies.
River & Mercantile
Al Bryant, Head of Emerging Markets
Fund: R&M Emerging Market ILC Equity Fund
Emerging markets - changed landscape, opportunity ahead
Emerging markets have always been characterized by diversity and opportunity and, of course, risk. However, we’ve now had a decade of improved financial behavior in EM, rising growth globally, and structural changes to EM markets, which mean they offer a wider investment opportunity set, which is not just about cyclicals. The time is now right to think about the asset class with a broader and more active scope. Our EM approach provides a multi-cap, active, bottom-up solution that invests across the spectrum of value, quality and growth. Risks remain in EM, but these risks are more specific to valuations, innovations, and disruptions as opposed to the traditional fears of financial implosion.
Vontobel Asset Management
Sergey Goncharov, Portfolio Manager/ Analyst & Adrian Bender, Client Portfolio Manager
Fund: Emerging Markets Corporate Bond
Low duration, high spreads and an inefficient market. Is EM Corporate credit truly an active investor’s paradise
With a current yield of well in excess of 7% in USD and duration around 4 years, we believe our contrarian approach is well suited to today’s low-yield, reflationary world. But EM corporate credit remains an exotic asset class for many investors. Few venture past EM sovereigns leaving a huge (almost) empty playing field with significant alpha opportunities for high conviction managers.