Equity strategies

Carmignac Portfolio Emergents

SICAVEmerging marketsSRI Fund Article 9
Share Class

LU0992626720

Grasping the most promising opportunities within the emerging universe
  • A concentrated and high conviction portfolio seeking high alpha generation across the diversified emerging market universe.
  • A Fund focused on selecting high-quality companies that offer attractive long-term growth prospects, with sound financials and sustainable profitability.
Asset Allocation
Equities95.8 %
Other4.2 %
Data as of:  28 Mar 2024.
Risk Indicator
4/7
Recommended Minimum Investment Horizon
5 years
Cumulative Performance since launch
+ 97.2 %
+ 101.9 %
+ 48.4 %
- 14.9 %
+ 7.0 %
From 15/11/2013
To 19/04/2024
Calendar Year Performance 2023
- 0.7 %
- 0.4 %
+ 17.8 %
+ 24.6 %
- 17.3 %
+ 19.8 %
+ 65.9 %
- 15.8 %
- 9.4 %
+ 8.0 %
Net Asset Value
197.2 £
Asset Under Management
360 M €
Market
Emerging markets
SFDR - Fund Classification

Article

9
Data as of:  19 Apr 2024.
​Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.

Carmignac Portfolio Emergents fund performance

Take a look at the Fund's performance supported by our Fund managers’ market commentary and strategy insight.

Our monthly comments

Data as of:  29 Mar 2024.
Fund management team
[Management Team] [Author] Hovasse Xavier

Xavier Hovasse

Head of Emerging Equities, Fund Manager
[Management Team] [Author] Li-Labbe Haiyan

Haiyan Li-Labbé

Fund Manager

Market environment

Emerging markets were up in March (+2.4% for the MSCI EM in euro), as were global markets as a whole. However, Chinese markets were stable. Early in the month, the government announced it would be targeting 5% growth over the year and trying to cap the deficit at 3% of GDP, but its optimism failed to convince investors. China continues to face structural problems despite a slight improvement in certain economic indicators. For example, the NBS manufacturing PMI rose to 50.8 in March from 49.1 in February, and inflation of +0.7% put an end to five months of deflation. India’s healthy economy points to growth of 6.5%, so local markets continued to perform well. Another beneficiary of geopolitical tension, the South Korean market also made up ground (+3.0% for the KOSPI in euro), largely thanks to its technology companies. In Latin America, the Mexican economy continues to benefit from the nearshoring of US production chains, and its manufacturing PMI remains in expansionary territory (52.2). Mexico’s local CPI was up 6.5% in euro.

Performance commentary

The Fund delivered a positive return, beating its reference indicator in March. Our Chinese portfolio helped shore up the Fund, largely as a result of our careful stock selection. Air transport solutions provider EHang performed excellently after publishing its results for Q4 2023 (up to CNY 56.6m from CNY 15.7m a year earlier). Our Chinese consumer discretionary stocks including JD.com, MINISO and Anta Sports were also up in March. Additionally, we remain exposed to the artificial intelligence theme, mainly through semiconductor companies Taiwan Semiconductor and Samsung Electronics. In Latin America, our Mexican portfolio appreciated thanks to contributions from industrial real estate company Vesta and banking group Banorte. However, our Brazilian positions, including Eletrobras, Equatorial and MercadoLibre were somewhat disappointing in March.

Outlook strategy

We remain optimistic for emerging markets over the rest of 2024. The vast emerging world presents numerous opportunities across all regions and sectors, as valuations are attractive. The Chinese authorities’ stimulus is starting to pay off despite structural problems. We are keeping a significant allocation to Chinese markets, taking advantage of market inefficiencies and the upside potential for consumer companies with strong balance sheets and valuations that do not fully reflect their underlying fundamentals or growth prospects. Nearly all of the Chinese companies in our Fund are leaders in their field, with high cash flows to sustain decent margins against the current backdrop of weak growth. We took advantage of the Chinese markets’ rally to reduce our exposure to China. Elsewhere in Asia, we are keeping our top holdings in the technology sector (Taiwan Semiconductor, Samsung Electronics), which are receiving impetus from the artificial intelligence trend. We also increased our exposure to the Indian market, opening a position on Macrotech Developers. This real estate company operates on a booming market in which construction is growing, has a business model with low capital intensity, and enjoys strong corporate governance, involving ambitious targets to reduce carbon emissions. We are remaining exposed to Latin America, and Mexico in particular, which are benefitting from structural trends such as reindustrialisation in North America. We are positioned on industrial real estate company Vesta in Mexico. Although we remain optimistic for emerging markets over the rest of 2024, we have reduced our regional bets to protect ourselves from geopolitical risks – most notably those attached to the US presidential election. The Fund is therefore focusing on its stock selection, concentrating its portfolio on growth and discounted stocks, with a particular emphasis on valuations and sustainability criteria.

Performance Overview

Data as of:  19 Apr 2024.
​Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). Morningstar Rating™ :  © Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
Source: Carmignac at 23/04/2024

Carmignac Portfolio Emergents Portfolio overview

Below is an overview of the composition of the portfolio.

Geographical Breakdown

Data as of:  28 Mar 2024.
Asia76.8 %
Latin America21.3 %
Eastern Europe1.9 %
Total % Equities100.0 %
Asia76.8 %
cnChina
27.9 %
krSouth Korea
18.4 %
inIndia
14.4 %
twTaiwan
9.8 %
hkHong Kong
2.7 %
myMalaysia
2.0 %
sgSingapore
1.6 %

Key figures

Below are the key figures for the Fund, which will give you a clearer idea of the Fund's management and equity positioning.

Exposure Data

Data as of:  28 Mar 2024.
Equity Investment Weight95.8 %
Net Equity Exposure95.8 %
Number of Equity Issuers32
Active Share86.5 %

The strategy in a nutshell

Discover the Fund’s main features and benefits through the words of the Fund Managers.
Fund Management Team
[Management Team] [Author] Hovasse Xavier

Xavier Hovasse

Head of Emerging Equities, Fund Manager
[Management Team] [Author] Li-Labbe Haiyan

Haiyan Li-Labbé

Fund Manager
For over 30 years, Carmignac has been a pioneer in emerging markets. The combination of our fundamental financial analysis and our extra-financial approach, strengthened over the years, enables us to navigate emerging markets through our dedicated strategy.
[Management Team] [Author] Hovasse Xavier

Xavier Hovasse

Head of Emerging Equities, Fund Manager
View Fund's characteristics
Reference to certain securities and financial instruments is for illustrative purposes to highlight stocks that are or have been included in the portfolios of funds in the Carmignac range. This is not intended to promote direct investment in those instruments, nor does it constitute investment advice. The Management Company is not subject to prohibition on trading in these instruments prior to issuing any communication. The portfolios of Carmignac funds may change without previous notice.
The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.
​The information presented above is not contractually binding and does not constitute investment advice. Past performance is not a reliable indicator of future performance. Performance is shown net of fees (excluding any subscription fees payable to the distributor). Investors may lose some or all of their capital, as the capital in the UCI is not guaranteed. Access to the products and services presented herein may be restricted for some individuals or countries. Taxation depends on the situation of the individual. The risks, fees and recommended investment period for the UCI presented are detailed in the KIDs (key information documents) and prospectuses available on this website. The KID must be made available to the subscriber prior to purchase.
Carmignac Portfolio is a sub-fund of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.
The information presented above is not contractually binding and does not constitute investment advice. Past performance is not a reliable indicator of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor), where applicable. Investors may lose some or all of their capital, as the capital in the UCI is not guaranteed. Access to the products and services presented herein may be restricted for some individuals or countries. Taxation depends on the situation of the individual. The risks, fees and recommended investment period for the UCI presented are detailed in the KIDs (key information documents) and prospectuses available on this website. The KID must be made available to the subscriber prior to purchase.). The reference to a ranking or prize, is no guarantee of the future results of the UCITS or the manager.

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