Tap into the Real Growth Drivers of Emerging Markets

Despite near-term headwinds, discover which factors support a runway for emerging market growth and see how to invest with an edge.

Disruptive

It’s exhilarating to go to a country and visit a company and discover it has a unique product, service, or brand that’s going to allow it to grow for an extended period.

Todd McClone, CFA, Partner
Portfolio Manager

From Why Emerging Markets Now

It’s exhilarating to go to a country and visit a company and discover it has a unique product, service, or brand that’s going to allow it to grow for an extended period.

Todd McClone, CFA, Partner
Portfolio Manager

From Why Emerging Markets Now

China A-Shares is an under-researched, inefficient market, which provides opportunities for investors who are on the ground doing fundamental research.

Casey Preyss, CFA, Partner
Portfolio Manager

From Emerging Markets with an Edge

China A-Shares is an under-researched, inefficient market, which provides opportunities for investors who are on the ground doing fundamental research.

Casey Preyss, CFA, Partner
Portfolio Manager

From Emerging Markets with an Edge

Active managers with good insights can anticipate trends and capture opportunities in the dynamic emerging market environment.

Romina Graiver
Portfolio Specialist

From Why Active in Emerging Markets

Active managers with good insights can anticipate trends and capture opportunities in the dynamic emerging market environment.

Romina Graiver
Product Specialist

From Why Active in Emerging Markets

The Case for
Emerging Markets

WILLIAM BLAIR EMERGING MARKET VIDEOS

Our portfolio managers and analysts describe opportunities in emerging markets, in their own words.

Why Emerging Markets Now

Strengthening corporate earnings, attractive valuations, and robust economic growth support a runway for emerging market growth.

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We focus on identifying quality growth emerging market companies that have differentiated products or services that can generate sustainable value creation.

Jack Murphy, CFA, Partner
Portfolio Manager

Emerging Markets with an Edge

Under-owned segments of emerging markets, such as frontier and small-cap equities and China A-Shares, provide global investors with opportunities to pursue alpha.

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The China A-Share market has historically had a low correlation to other equity markets, which may provide a significant diversification benefit for investors.

Vivian Lin Thurston, CFA, Partner
Global Research Analyst

The China A-Share market has historically had a low correlation to other equity markets, which may provide a significant diversification benefit for investors.

Vivian Lin Thurston, CFA, Partner
Global Research Analyst

Why Active in Emerging Markets

Inefficient emerging markets continue to evolve, providing opportunities to invest in future growth drivers.

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WILLIAM BLAIR EMERGING MARKET STRATEGIES

Emerging Markets Leaders Strategy

Concentrated portfolio of leading high-quality emerging market companies in terms of products, services, and execution.

Emerging Markets Growth Strategy

Diversified, all-cap portfolio of high-quality emerging market companies with broad exposure to sectors and countries across the market-capitalization spectrum.

Emerging Markets Small Cap Growth Strategy

Diversified portfolio of high-quality small-capitalization emerging market companies with broad exposure to sectors and countries, including frontier markets.

China A-Shares Growth Strategy

Portfolio of high-quality growth China A-Share companies across the market-capitalization spectrum.

WILLIAM BLAIR EMERGING MARKET BLOG POSTS

Demographics and Flows Fuel India

Despite near-term pressures on India’s equity market, India may have the best long-term growth trajectory among emerging markets.

China’s Innovation Boom Benefits Active Managers

The growth in China’s middle class combined with its innovation boom is driving opportunities for active managers.

Innovation Driving EM Performance

Global investors should focus on how technological disruption is creating investment opportunities in emerging markets.

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Any statements or opinions expressed are those of the author as of the date of publication, are subject to change without notice as economic and market conditions dictate, and may not reflect the opinions of other investment teams within William Blair Investment Management, LLC.

This content is for informational and educational purposes only and not intended as investment advice or a recommendation to buy or sell any security. Investment advice and recommendations can be provided only after careful consideration of an investor’s objectives, guidelines, and restrictions.

Factual information has been taken from sources we believe to be reliable, but its accuracy, completeness or interpretation cannot be guaranteed. Forecasts, estimates, and certain information contained herein are based upon proprietary research and should not be interpreted as investment advice, as an offer or solicitation, nor as the purchase or sale of any financial instrument. Statements concerning financial market trends are based on current market conditions, which will fluctuate. William Blair does not provide legal or tax advice. Please consult your tax and/or legal counsel for specific tax questions and concerns.

Investing involves risks, including the possible loss of principal. Equity securities may decline in value due to both real and perceived general market, economic, and industry conditions. The securities of smaller companies may be more volatile and less liquid than securities of larger companies. Investing in foreign denominated and/or domiciled securities may involve heightened risk due to currency fluctuations, and economic and political risks, which may be enhanced in emerging markets. Investing in the bond market is subject to certain risks including market, interest rate, issuer, credit, and inflation risk. Diversification does not ensure against loss. Any investment or strategy mentioned herein may not be suitable for every investor. Past performance is not indicative of future results.

The MSCI ACWI IMI Index is a free float-adjusted, market capitalization-weighted index that captures large, mid, and small cap representation across developed and emerging markets. The MSCI ACWI Small Cap Index is a free float-adjusted, market capitalization-weighted index that captures small cap representation across developed and emerging markets. The MSCI Emerging Markets Index is a free float-adjusted, market capitalization-weighted index that is designed to measure the equity market performance of emerging markets. The MSCI World Index is a free float-adjusted, market capitalization-weighted index that is designed to measure the equity market performance of developed markets. The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid ARM pass-throughs), asset-backed securities and commercial mortgage backed securities. Index performance is for illustrative purposes only. The indices are unmanaged, do not incur fees or expenses, and cannot be invested in directly.

P/E Ratio is a measure of valuation which compares share price to earnings per share, calculated using estimates for the next twelve months.

Standard deviation is a statistical measurement of variations from the average.

QUANTITATIVE MODELS—FACTOR DEFINITIONS

The William Blair Earnings Trend Model captures information about short- and medium-term changes in analyst estimates in an attempt to anticipate future estimate changes and stock performance. The score combines measurements of earnings revisions, momentum, and earnings surprise.

The William Blair Valuation Model combines varying metrics used to characterize the relationship between the stock’s trading price and its intrinsic value. By going beyond using only one or two measures, the model attempts to build a more holistic version of a stock’s worth vis-a-vis the market. The score combines measurements of earnings/cash flow based, asset-based, and model-based factors.