October 18, 2010

Top 5 Emerging Market Mutual Funds

Top 5 Emerging Market Mutual FundsWith developed countries (USA & Europe) economy is cooling down or at least slow down, everyone will look at growing sector or market to invest. One of these markets is diversified emerging market.

Emerging market usually include most developing countries in Asia, Africa and Eastern Europe. Some of these countries are known as BRIC acronym (Brazil, Russia, India and China). Most analysts predict emerging market will drive all future growth for the next decade. Investor should look to invest in emerging market. Emerging market is part of international market; this mean investing in this emerging market can be volatile at the times. Please invest responsibly.

Best Emerging Markets Funds

I think emerging market should be part of your investment portfolio whether it is in your 401k retirement or brokerage account. The question is how to invest in emerging market; there are two easy ways to invest such as using ETF and Mutual Funds.

The following article will discuss about Top 5 mutual funds in emerging market. The following is top 5 emerging market mutual funds in term of asset. What I like is usually big asset is equal to big confident by investor or institutional money to invest in this fund. I also like most of these asset managers as they are well known to many investors
  1. Vanguard Emerging Market Stock Index, VEIEX
  2. American Funds New World Fund A, NEWFX
  3. Lazard Emerging Markets Equity, LZOEZ
  4. Oppenheimer Developing Markets, ODMAX
  5. DFA Emerging Markets Value Portfolio DFEPX

Vanguard Emerging Market Stock Index

The Vanguard Emerging Market Stock Index portfolio tracks the MSCI Emerging Markets Index, which is weighted toward the largest companies in the largest emerging markets. The fund performance is as follows (VEIEX): 1 Year: 19.73% per year 3 Year: -2.19% per year 5 Year: 13.50% per year 10 Year: 13.66% per year.

American Funds New World Fund

This American Funds’ New World Fund is a diversified international fund that has managed to stay less volatile than most other emerging-market rivals.

Lazard Emerging Markets Equity

The Lazard Emerging Markets Equity Portfolio fund has performed better by picking undervalued stocks of companies based in a wide selection of emerging-market countries. The Lazard Emerging Markets Equity fund objective is to provide long-term capital appreciation by investing in companies with strong, sustainable financial productivity at attractive valuations.

Oppenheimer Developing Markets Fund

The Oppenheimer Developing Markets investment aggressively seeks capital appreciation. The fund normally invests more than 80% of assets in equity securities of issuers whose principal activities are in at least three developing markets.

DFA Emerging Markets Value Portfolio Fund

The primary objective is to seek long-term capital appreciation. The fund invests normally at least 80% of net assets in emerging markets investments that are defined as Approved Markets securities and may purchase emerging market equity securities across all market capitalizations whether it is large cap, mid cap and small cap.

More can be read at: Top 5 Best and Popular Emerging Market Mutual funds

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