MW Emerging Markets Fund
 
Fund launch date
 01/03/2007
Fund size
at 18/12/2017
£68m
Personal class
Unit class launch date
07/01/2013
Unit class size
£68m
Current price
per personal unit
at 12pm on
 18/12/2017
 
£22.263xd
Change in price (+/-)
 +£0.204
Dividend yield
 
1.6%
Calculate your fund holding value



Your fund holding value based on above price: £

Objectives and policy

The investment objective of the Emerging Markets Fund is to grow the real value of investors’ capital and income. Investments will primarily be in companies operating or incorporated in developing countries. An equal emphasis will be placed on the generation of income and on capital growth. 

The fund may invest in any geographical area and any economic sector. In accordance with the firm’s ethical principles, the fund has no investments in tobacco companies or companies directly involved in the development of arms. 

Composition

The fund holds a portfolio of direct investments in a diversified range of emerging market equities. Individual investments and geographic allocations are continually evaluated and adjustments are made according to the relative merits of each holding and the opportunities offered by different international markets.

Structure

The fund is structured as an authorised unit trust. Its structure provides investors with certain institutional safeguards and simplicity of administration. Investors will gain access, through the fund, to a portfolio that may be impractical to assemble themselves. Furthermore, as no tax is suffered on capital gains realised within the fund, there are no tax constraints on active management of fund holdings and individuals benefit from the deferral of tax on capital gains (if any) until the point at which capital is withdrawn.

Asset allocation
  • 2%
    Cash
  • 98%
    Equities

If you cannot see this chart, please download the Quarterly Fact Sheet

Geographic allocation
  • 71%
    Asia ex. Japan
  • 18%
    Latin America
  • 4%
    Africa
  • 5%
    Emerging Europe
  • 2%
    UK (incl. cash)

If you cannot see this chart, please download the Quarterly Fact Sheet

Perhaps the most promising trend favouring investment in developing economies has been the widespread implementation of reform programmes to boost growth and productivity. Entrenched local interests may resist individual measures, but there is a broad political impetus in this direction across many different countries. Of course this encouraging picture would be endangered if there was a sharp deterioration in international relations, particularly in the event of military conflict on the Korean peninsula.

Meanwhile strong global growth also provides a favourable background, and many emerging economies are growing more quickly than their developed counterparts. This has been reinforced by interest rate cuts from a number of the central banks, notably India and Brazil, and Mexico may start to cut rates soon. Lower borrowing costs for companies should further stimulate investment spending and consumption.

Prospects for China seem positive following the conclusion of the Communist Party's National Congress. Premier Xi's power over the party looks secure. Debt levels remain high, but the People's Bank of China gradually raised interest rates over the last six months, and is trying to move lending away from the shadow banking system into better regulated channels. The country's reliance on exports is slowly being reduced, as the importance of consumption to the overall economy increases. This shift is likely to continue which bodes well for China's regional trading partners in South East Asia.

In India, President Modi has introduced major tax reforms. The country has a low level of tax take, and increased revenues from taxation would allow government spending to be increased, enabling large numbers of people to be lifted out of extreme poverty and brought into regular employment. If this strategy proves successful, it will significantly enhance the economy's long-term prospects. Companies focused on consumer spending should benefit disproportionately.

Brazilian President Temer's government has started to push through some important legislation. The Senate has passed a labour reform bill and a wide-reaching privatisation plan has been announced. Even more ambitious and controversial plans to reform pensions and the tax system have also been proposed. In the shorter term, Brazil's worst recession in its history appears to have ended. Companies have cut costs and, despite the weak growth, corporate profitability is improving rapidly which should in turn foster a pick-up in business investment.

In summary, the economic backdrop for investment in emerging markets is positive with good growth in their export markets and even faster expansion at home. While the political will for structural reform is variable, significant progress has been made in several countries. This is an environment in which long-term investors with a selective approach should prosper.

Total return on investment
net of charges and assuming re-investment of dividends

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Total return (£)
Value of initial £1,000 investment
RPI inflation
Total returns
Total return (%)
to 30th November 2017
 
1 year
 
3 years
 
5 years
 
10 years
Since launch
 01/03/2007
Cumulative return
14.3
25.1
38.3
132.3
171.6
Annualised return
14.3
7.7
6.7
8.8
9.7
Discrete annual returns
Total return (%)
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
  • 2010
  • 2009
  • 2008
12 months to 30th November
  • 14.3
  • 25.1
  • -12.6
  • 10.1
  • 0.4
  • 19.6
  • -12.6
  • 34.0
  • 77.0
  • -32.2
Historic prices and dividends
Personal class
Legacy class (closed 21/12/2016)
General
Launch date
01/03/2007 
Manager
McInroy & Wood Portfolios Ltd 
Investment adviser
McInroy & Wood Ltd 
Custodian & Trustee
Bank of New York Mellon (International) Limited 
Fund size (at 18/12/2017)
£68m
Independent auditor
PricewaterhouseCoopers LLP 
Fund status
Authorised unit trust 
Reference currency
GBP 
IA sector
Specialist 
Valuation and dealing
12pm on each UK business day 
Valuation basis
Forward, single-price basis 
Unit type
Income (reinvestment facility available) 
Min. initial and subsequent investment
£1,000 
Regular savings facility
£100 monthly minimum investment 
Reporting periods
31st March and 30th September 
Current tax year ISA/JISA limits
£20,000 / £4,128 
Dividend information
Ex-dividend dates
1st April and 1st October 
Payment dates
On or before 31st May and 30th November for each reporting period 
Most recent dividends:
Personal class
 
 
Dividend
rate
Ex-dividend
date
Payment
date
Interim
14.000p
01.10.17
30.11.17
Final
22.411p
01.04.17
31.05.17
Unit class
Personal class
Launch date
 07/01/2013
Unit price
(at 18/12/2017)
 
£22.263xd
Dividend yield
 1.6%
SEDOL
 B7SKS40
ISIN
 GB00B7SKS407
Fees and charges
Personal class
Initial charge
 Nil
Ongoing charges figure
 1.33%
(including 1.00% annual management charge)
Exit charge
 Nil
Performance fee
 Nil

If you are considering investing in the fund or wish to manage existing investments all the information and forms you need can be downloaded using the links below. All investments require the completion of the appropriate form which should then be sent to the postal address below.

Our funds are also available from various platforms. These are categorised as either Retail (for anyone investing directly in their own right) or Advisor (for investments made via a professional intermediary).

Please do not hesitate to contact our Unit Trust Team should you have any questions.

Fund documentation
Contact us
If you require further information or clarification, or would simply like to discuss any aspect of the services we provide, please call us on the number below and we will make sure the right person speaks to you.

Telephone

+44 (0)1620 825 867

Postal address for mailing of all forms

McInroy & Wood Portfolios Limited
PO Box 12177
Chelmsford
CM99 2EA

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