BT Investment Management has launched an emerging markets fund that will be managed by its UK unit, JO Hambro Capital Management.
The BT Global Emerging Markets Opportunity Fund is an actively managed portfolio of emerging market equities, designed for investors wanting long-term capital growth and diversification.
Launching the fund, BTIM sales head, Martin Franc, said the product was the first to be launched using the expertise of Hambro, which BTIM acquired in October 2011.
Hambro fund manager, Paul Wimborne, was in Sydney for the fund launch and said the strategy was to “add value through a combination of country allocation as well as individual stock selection” at attractive valuations.
“When deciding on our country allocations, we examine a number of elements, including economic growth, monetary policy, liquidity, governance and politics,” Wimborne told the launch.
The fund’s target is to deliver returns – before fees, costs, and taxes – that exceed the MSCI Emerging Markets (Standard) Index in Australian dollars over the long term.
Also launched yesterday was a new global fixed-income fund offered by Franklin Templeton Investments.
The Franklin Templeton Global Aggregate Bond Fund invests primarily in fixed or floating-rate debt securities from governments and corporations, and can have up to a 20-per-cent tactical allocation to high yield, bank loan and emerging market credits.
The fund was seeded with $39.5 million and is currently available to institutional investors through a pooled investment vehicle.