BMO Global Asset Management has launched an emerging markets smaller companies fund.
Managed by LGM Investments, a subsidiary of BMO GAM, the fund will be managed by Irina Hunter with Claire Franklin being co-portfolio manager.
Hunter says emerging markets smaller companies are one of the few places left where investors can achieve a genuine information advantage.
“Simply speaking, the sector lacks research coverage and, as such, price discovery. As stock pickers, this gets us very excited and allows us to find fantastic businesses, achieving great things, which are simply not appreciated by the market…yet.”
The fund can invest a portion of its assets in frontier markets as well as companies that derive a significant amount of their income and profits from emerging markets.
It will seeks companies with a sustainable business models, robust balance sheets, proven management teams, and a clear alignment of interest between majority and minority shareholders.
The LGM Global Emerging Markets Smaller Companies fund, domiciled in Ireland, is available to institutional and advised retail investors and has an estimated OCF of 0.81 per cent.