Maximising opportunities in emerging markets

Emerging markets are home to 70% of the world’s population, half of its land mass and 40% of its economic output. They include behemoths such as India, Taiwan and China, as well as fast-growing minnows such as Chile, Malaysia or South Africa.

These economies are rich in innovation. From fintech in India, to green energy in China, to copper mining in Chile, emerging market companies are often global leaders in their field and bring a diverse range of opportunities for investors.

Successfully navigating this vast universe requires a breadth of expertise, with research analysts on the ground, steeped in local expertise. Fidelity Emerging Markets Limited (FEML) draws on Fidelity’s research resources across the globe to build a carefully curated portfolio of companies with a strong runway of growth.

High quality emerging market companies should deliver strong and sustainable investment returns over the long term, but it is vital to keep an eye on potential risks. These are markets that may be more volatile and valuations can move to extreme levels in both directions. We strive to ensure our investors can profit from emerging markets’ growth, without experiencing every bump in the road.

In this broadcast Chris Tennant spoke to Citywire’s Gavin Lumsden about why Fidelity’s EM ‘go-anywhere’ approach to the developing world is finding growth opportunities.

Watch Chris’ recent broadcast with Citywire

The 'Big Broadcast' with Chris Tennant is produced, recorded and distributed by Citywire.

Important information

The value of investments can go down as well as up and investors may not get back the amount invested. Overseas investments will be affected by movements in currency exchange rates. The use of financial derivative instruments for investment purposes, may expose the fund to a higher degree of risk and can cause investments to experience larger than average price fluctuations. This Investment Company invests in emerging markets which can be more volatile than other more developed markets. Investors should note that the views expressed may no longer be current and may have already been acted upon. The shares in investment trusts are listed on the London Stock Exchange and their price is affected by supply and demand. Investment trusts can gain additional exposure to the market, known as gearing, potentially increasing volatility. Reference to specific securities should not be construed as a recommendation to buy or sell these securities and is included for the purposes of illustration only. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to an authorised financial adviser.