4 Funds Making Big Emerging-Markets Bets
Two funds sold and two funds bought developing-world stocks during the region's bear market.
A version of this article was published in the July 2016 issue of Morningstar FundInvestor. Download a complimentary copy of FundInvestor here.
The recent emerging-markets bear market has left its imprint, at least in the short term, on some funds. Between the bear market's April 28, 2015, peak and its Jan. 21, 2016, trough, the MSCI Emerging Markets Index shed 34.1% of its value, with Brazil and China leading the race to the bottom. While their reasons for selling differed, two funds substantially cut their developing-markets footprints during that time and still got hammered. Two others had the temerity to buy in bulk, though only one benefited from the subsequent rebound through July 2016.
At the start of second-quarter 2015,
Between June and December 2015,
Over the past year through March 2016, Bronze-rated