This article has been written by an expert contributor, Amit Goel from Fidelity International
The Fidelity Global Emerging Markets Fund invests in a portfolio of 30 to 50 emerging markets securities that we believe are positioned to generate return through market cycles and which have demonstrated a track record of strong corporate governance. Fidelity Global Emerging Markets Fund Quarterly Top 10 stock positions provides a high-level snapshot of some of the companies held in the portfolio as at 30 June 2022.
Quarterly top 10 stock positions
- Taiwan Semiconductor Manufacturing Company (TSMC) has been at the forefront of chip design since the early 1980s and today produces chips for some of the largest clients in the world, for example, Apple. As the name of the company suggests, its headquarters are in Taiwan.
- AIA Group has its headquarters in Hong Kong and is the largest independent publicly listed pan-Asia life insurance group, which has a presence in 18 markets including Australia.
- China Mengniu Dairy Co manufactures and distributes dairy products in China. China Mengniu Dairy offers products such as milk, ice cream, and milk powder.
- HDFC Bank Ltd is the largest privately owned bank in India, focused on non-mortgage retail lending. It has a solid track record and it benefits from an excellent management team and leading technology for banking systems. Founded in 1994, the company is based in Mumbai, India.
- Li Ning Co Ltd is one of the leading sports brand companies in China, founded by worldclass gymnast Mr Li Ning. In addition to its core brand, the company also manufactures and sells various sports products including Double Happiness (table tennis), AIGLE (outdoor sports), Danskin (fashionable fitness products for dance and yoga) and Kason (badminton), which are operated through joint venture/associates with third parties outside the group.
- Zhongsheng Group Holdings Ltd is a large auto dealer in China. The company imports and retails primarily luxury and mid- to high-end automobile brands, namely luxury brands of Mercedes-Benz, Lexus, Audi, Porsche, Land Rover and mid- to high-end brands of Toyota, Nissan, Volkswagen, Honda.
- Bank Central Asia (BCA) provides commercial and personal banking services through more than 1,100 branches and some 16,700 ATMs across Indonesia, mostly in the Java region. More than half of the bank’s loan portfolio consists of corporate and commercial loans, though it also originates consumer loans. Beyond retail banking services, BCA also offers insurance, treasury and international banking services.
- Infosys Ltd is India’s second-largest IT services company. Its services include application development, product co-development, and system implementation and system engineering, targeting businesses specialising in the insurance, banking, telecommunications and manufacturing sectors. Infosys pioneered the global delivery model and became the first IT company from India to be listed on the NASDAQ.
- Tencent Holdings Ltd is currently the largest social network company in China, providing online games, digital content, online advertising services and other internet related services. Its social communication eco-system of active users includes QQ, Weixin and WeChat.
- SK Hynix Inc is one of the leading manufacturers of semiconductors such as dynamic random access memory (DRAM), NAND flash memory, and static random access memory (SRAM) chips in the world.
To learn more about what Emerging Markets are then check out this infographic: What are emerging markets?
To learn more about the case for Emerging Markets check out this article: Emerging Markets: Benefitting from accelerating trends
The author, Amit Goel joined us on the Equity Mates Investing Podcast on 01/09/22. Check it out here: Expert: Amit Goel – This company buys 13% of all Brazilian cars | Fidelity
Access Fidelity’s best ideas in emerging markets. Amit Goel, the Lead Portfolio Manager for the Fidelity Asia Fund and Punam Sharma, the Co-Portfolio Manager for the Fidelity Global Emerging Markets Fund are backed by a 400-strong team of investment professionals worldwide.
They carefully select 30 to 50 companies they believe are well positioned to generate returns through market cycles and which have demonstrated a track record of strong corporate governance. Recommended as a long-term holding (minimum investment time period of five years plus).
Established in 1969, Fidelity International offers world class investment solutions and retirement expertise. As a privately owned, independent company, investment is our only business. We are driven by the needs of our clients, not by shareholders. Our vision is to deliver innovative client solutions for a better financial future.
Prior to making an investment decision, retail investors should seek advice from their financial adviser. This document is intended as general information only.