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Emerging market equity and allocation fund options
A recent notification by Mr. Snowball and Bob C. that Emerging markets may be a place to invest for the future for a higher potential of return compared to other areas. A few funds come to mind that may work. The funds listed below are EM Allocation funds that are relatively new without much of a public record.
Do you have funds to recommend that may be off the radar?
TGMEX does look quite interesting with an ER offered now at 1.26% (relatively attractive in this space where most funds have high ERs) and from a good EM shop --- although they are more well-known for their EM bond expertise but they do cover EM equities in their Institutional accounts.
The 2 TCW managers of the well-run TGEIX fund are also managers of TGMEX.
Uhh ... no. Just to be clear: I have no earthly clue about what's going to happen in the near-term. Historically, a 50% drop from here is not out of the question. My argument is simply that valuations are, by traditional measures, very low and that low valuations typically precede high returns.
Reply to @Art: I thought in the original thread EAEMX was a typo for WAEMX. At least it seemed to me that way. W and E are side by side on the qwerty keyboard.
From what I gather is that the fund has a smaller allocation to the BRIC countries in MSCI-EM/FTSE-EM indeces in addition to some exposure to frontier market. See the "asset by country" and "geographic mix" sections. This year frontier market has outpaced the EM by sizable margin that has contributed to somewhat better performance. funds.eatonvance.com/Parametric-Emerging-Markets-Fund-EAEMX.php
This fund is now available through Fidelity as NTF fund and with front-load waived. Noted that the ER is at 1.42%.
Reply to @Art: Too bad. WAEMX is a better fund than EAEMX. This year both has lost however, EAEMX lost less and has performed a bit better on some years by losing a few percent less but upside on WAEMX was far better and made up that loss much more quicker and delivered more over longer periods.
Reply to @Kenster1_GlobalValue: The TGMEX portfolio looks interesting, and it's doing okay so far considering when it launched. Have to check on the chops of the managers in stock investing, but it's worth a spot on the watch list, for sure.
Comments
The 2 TCW managers of the well-run TGEIX fund are also managers of TGMEX.
Brief webcast discussion with fund manager:
http://www.thestreet.com/video/11976088/new-tcw-fund-offers-bric-twist.html
Uhh ... no. Just to be clear: I have no earthly clue about what's going to happen in the near-term. Historically, a 50% drop from here is not out of the question. My argument is simply that valuations are, by traditional measures, very low and that low valuations typically precede high returns.
And Morningstar is quite taken with EAEMX.
David
After EAEMX was recommended on MFO I checked it out. Not sure what makes it so good. What am I missing?
Art
No typo. Once nice thing if it was I could change it. Cool.
performance.morningstar.com/fund/performance-return.action?t=EAEMX®ion=USA&culture=en-US
From what I gather is that the fund has a smaller allocation to the BRIC countries in MSCI-EM/FTSE-EM indeces in addition to some exposure to frontier market. See the "asset by country" and "geographic mix" sections. This year frontier market has outpaced the EM by sizable margin that has contributed to somewhat better performance.
funds.eatonvance.com/Parametric-Emerging-Markets-Fund-EAEMX.php
This fund is now available through Fidelity as NTF fund and with front-load waived. Noted that the ER is at 1.42%.