Invest With Us

Wasatch Emerging Markets Select Strategy

See Related Fund
Wasatch Emerging Markets Select Strategy
TOP

Strategy Overview

Highlights
  • A concentrated, yet diversified high-conviction portfolio of 20-40 stocks
  • Seeks the highest-quality growth companies in emerging markets
  • Truly active, collaborative, bottom-up, fundamental process
  • Systematic coverage of the emerging markets universe
Investment Approach

We use a bottom-up approach that seeks to identify companies with outstanding long-term growth potential. We look for companies with:

  • Strong financials
  • A sustainable competitive advantage
  • Industry-best management teams
  • Earnings growth greater than the relevant sector or industry

All cap flexibility with a focus on mid-cap companies

Approximately 20-40 positions

Portfolio Managers
Ajay Krishnan Ajay Krishnan Lead Portfolio Manager
11 years on strategy
29 years at wasatch
Neal Dihora Neal Dihora Portfolio Manager
2 years on strategy
7 years at wasatch
Scott Thomas Scott Thomas Associate Portfolio Manager
8 years on strategy
12 years at wasatch
21 Cumulative PM years on strategy

We look for opportunities arising from the explosion of consumer demand in emerging markets. These opportunities include investments across the market-cap spectrum.”

—Ajay Krishnan, Lead Portfolio Manager

Performance

Total Returns AS OF 03/31/24 AS OF 04/30/24
Quarter-End Month-end
1 Month
3 Month
ytd
1 yr
3 yr
5 yr
10 yr
Since
Inception
Emerging Markets Select Composite (Gross)
-0.21%
4.62%
-2.63%
7.79%
-4.19%
9.48%
6.62%
5.88%
Emerging Markets Select Composite (Net)
-0.26%
4.49%
-2.79%
7.21%
-4.72%
8.87%
5.97%
5.20%
MSCI Emerging Markets Index
0.45%
7.83%
2.83%
9.88%
-5.69%
1.89%
2.96%
2.36%
MSCI Emerging Markets Mid Cap Growth Index
-0.58%
4.51%
-0.05%
7.74%
-4.23%
2.03%
3.42%
3.04%

Returns for periods greater than one year are annualized. Since inception performance is calculated from 12/31/2012.

Calendar Year Returns (%) NET OF FEES (AS OF 12/31/23)
Emerging Markets Select Composite
MSCI Emerging Markets Index
MSCI Emerging Markets Mid Cap Growth Index

Performance is preliminary and subject to change. Past performance is not indicative of future results. Wasatch Global Investors is an independent registered investment advisor. Registration does not imply a certain level of skill or training. Wasatch claims compliance with the Global Investment Performance Standards (GIPS®). GIPS® is a registered trademark of CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of content contained herein. To receive a complete list and description of composites and pooled funds and/or a GIPS Composite Report, e-mail inforequest@wasatchglobal.com. The U.S. Dollar is the currency used to express performance.

The Emerging Markets Select Composite contains fully discretionary equity accounts following the Emerging Markets Select style.  The composite primarily invests in equity securities of all market capitalizations that are tied economically to emerging market countries with the goal of long-term appreciation of capital.  For comparison purposes the composite is measured against the MSCI Emerging Markets Net TR Index.

The MSCI Emerging Markets Net TR Index is a free float-adjusted market capitalization index designed to measure the equity market performance of emerging markets.

The MSCI Emerging Markets Mid Cap Growth TR Net Index is an unmanaged free float-adjusted market capitalization index designed to measure the equity market performance of mid-cap representation exhibiting growth style characteristics of emerging markets.

The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties or originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages. (www. msci.com). Indexes are unmanaged, and investors cannot invest directly in an index.

See More +

Portfolio

Characteristics AS OF 03/31/24
Portfolio
Index
Number of Holdings
34
1376
Average Market Cap
($ Weighted)
$36.65B
$128.64B
Median Market Cap
$9.47B
$7.20B
EPS Growth (%, est. 5 yr)
27
18
P/E (Forward)
31
12
Portfolio Turnover (%)
25.73
N/A
Active Share (%)
95
N/A
Performance Statistics AS OF 03/31/24
5 yr
Alpha
8.14
Beta
1.03
R-Squared
0.71
Standard Deviation
22.94
Upside Capture
140.07
Downside Capture
95.54
Top 10 Holdings AS OF 03/31/24
Company
% of Net Assets
MercadoLibre Inc.
7.8%
NU Holdings Ltd. (Brazil)
7.3%
Bajaj Finance Ltd. (India)
6.9%
Globant SA
6.0%
Lasertec Corp. (Japan)
5.9%
HDFC Bank Ltd. (India)
5.2%
Voltronic Power Technology Corp. (Taiwan)
4.9%
Weg SA (Brazil)
4.5%
ASPEED Technology Inc. (Taiwan)
4.1%
Raia Drogasil SA (Brazil)
3.8%
34 Number of holdings
95% Active share
Sector Allocation AS OF 03/31/24
Sector
Portfolio
Index
Financials
28.8 %
22.4 %
Information Technology
23.4 %
23.7 %
Industrials
14.6 %
7.0 %
Consumer Discretionary
12.5 %
12.4 %
Health Care
9.0 %
3.5 %
Communication Services
4.3 %
8.6 %
Consumer Staples
3.8 %
5.6 %
Materials
2.8 %
7.2 %
Cash & Cash Equivalents*
0.8 %
N/A
Energy
0.0 %
5.3 %
Utilities
0.0 %
2.8 %
Real Estate
0.0 %
1.5 %
Country Allocation AS OF 03/31/24
Portfolio (%)
Developed
23.1%
United States
13.8%
Japan
5.9%
Singapore
2.8%
Hong Kong
0.7%
Emerging & Frontier
76.1%
India
29.9%
Taiwan
17.0%
Brazil
15.6%
China
4.9%
Mexico
3.8%
South Korea
3.4%
Uruguay
1.4%
23.1% Developed
76.1% Em and Frontier

Country weights are calculated as a percentage of total portfolio including cash & cash equivalents.

Commentary & Literature

News & Updates

India: A View From The Ground

May 8, 2024

Among emerging-market countries, the Wasatch investment team remains particularly constructive on India….

Read More >

Important Disclosures

Past performance does not guarantee future results. Performance results are net of transaction costs and reflect the reinvestment of dividend and other earnings. Net performance data was calculated using actual management fees. Actual fees may vary depending on, among other things, the applicable fee schedule and portfolio size. See Wasatch Global Investors Form ADV Part 2A for more information on fee schedules. Some portfolio net-of fees returns may be net of performance-based fees. Current performance may be lower or higher than the performance data quoted.

Portfolio holdings are subject to change. References to individual companies should not be construed as recommendations to buy or sell shares in those companies. Wasatch analysts closely monitor the companies held in the portfolio. If a company’s underlying fundamentals or valuation measures change, Wasatch will reevaluate its position and my sell part or all of its holdings.

Portfolio Characteristics, Allocations and Top Ten Holdings are derived from a representative account. A representative account is selected based on accounts with substantially similar investment policies, objectives, and strategies that closely resemble, or are most representative of, the strategy it represents.

Est. 5-year EPS Growth %: Estimated percentage increase in earnings per share (EPS) per year of the fund's holdings over the next 5 years. Returns are not guaranteed and may be higher or lower. Source: Wasatch and FactSet. P/E Ratio (forward and trailing): Sum of stock prices of the fund's holdings divided by the aggregate earnings per share of those holdings for the next 12 months (forward), or past 12 months (trailing), calculated as a weighted harmonic average. P/E to Growth Rate: Forward 12-month P/E ratio divided by the estimated 5-year EPS growth rate. Portfolios with a number less than 1.0 would be considered undervalued, around 1.0 would be considered fair valued and significantly greater than 1.0 would be considered overvalued. Weighted Average Market Cap: Average market capitalization of companies held by the fund, weighted by their percentage of fund net assets. Portfolio Turnover: A measure of trading activity in a fund's portfolio over the past 12 months expressed as a percentage of the fund's average total assets. Alpha measures a fund's risk/reward potential. A positive alpha means the fund outperformed the index. A negative alpha means the fund underperformed the index. Beta measures a fund's risk in relation to the market. A beta of 0.8 means the fund's total return is likely to move up or down 80% of the market change; 1.25 means total return is likely to move up or down 25% more than the market. R-Squared measures (from 0 to 1.0) how closely a fund's movements are correlated with movements of its benchmark. An R-squared of 1.0 would mean that the fund's movements are completely correlated with the movements of its benchmark. Active Share measures the difference between portfolio holdings and the benchmark. It is the sum of the absolute values of the different weightings of each holding in the fund versus each holding in the benchmark, divided by 2. Standard Deviation measures the degree to which a fund's performance has varied from its average performance over a particular time period. The greater the standard deviation, the greater a fund's volatility (risk). Upside Capture explains how well a fund performs in time periods where the benchmark's returns are greater than zero. Downside Capture explains how well a fund performs in time periods where the benchmark's returns are less than zero.

Wasatch Advisors LP, trading as Wasatch Global Investors ARBN 605 031 909, is regulated by the U.S. Securities and Exchange Commission under U.S. laws which differ from Australian laws. Wasatch Global Investors is exempt from the requirement to hold an Australian financial services licence in accordance with class order 03/1100 in respect of the provision of financial services to wholesale clients in Australia.

See More +