Emerging markets have been known to play an important role in investment portfolios. They often offer greater growth opportunities when compared to their developed-market peers ; boast growing, favourable demographics; and hold significant socioeconomic development potential arising from structural reforms.
Although asset prices in emerging markets across equities, fixed income, and private markets have been underperforming over the past decade or so, many investors remain optimistic about their long-term prospects.
In a poll conducted at GIC Insights 2023, almost 40% of delegates shared that their allocation to emerging markets in the next two years would remain unchanged, while over half of them anticipated it to increase over the next five to 10 years.
Fidelity Emerging Markets Limited (LON:FEML) is an investment trust that aims to achieve long-term capital growth from an actively managed portfolio made up primarily of securities and financial instruments providing exposure to emerging markets companies, both listed and unlisted.