Companies in emerging markets are under mounting pressure from investors, employees, customers, and other stakeholders to become green. But most significantly underperform companies in developed markets on influential ESG rankings by various agencies, especially when it comes to environmental sustainability.
BCG research has found, however, that certain large, high-growth emerging market companies perform well in both financial and environmental KPIs. They also enjoy the following strategic advantages:
- Stronger access to key global markets as the EU and other major trade partners impose tougher regulations on the greenhouse gas footprints of the goods they import
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.
