Thrivent Core Emerging Markets Equity Fund (0P0001ICPU)

Overview

The fund is an investment vehicle that primarily targets emerging markets by adhering closely to the MSCI Emerging Markets Index (USD Net Returns) for its benchmarking. This focus allows the fund to tap into the growth potential of countries that are on their way up economically, offering a unique blend of risk and reward to investors. The strategy is not just limited to the confines of the benchmark index but also encompasses attractive investment opportunities in other emerging market countries, thereby broadening the sphere of potential growth. Additionally, the fund is characterized by its flexibility in currency investment, demonstrating a global approach to asset allocation. A notable aspect of this fund is its readiness to concentrate a significant portion of its assets in specific countries or regions when the market conditions and investment prospects seem favorable, emphasizing its active management approach. However, it's important to acknowledge that this fund is non-diverse, meaning it might invest heavily in a limited number of assets, a strategy that could introduce a higher level of risk compared to diversified funds.

Products and Services

• Emerging Markets Securities Investments

  The core offering of the fund revolves around investing in securities issued by companies located in emerging market countries. These investments are guided by the performance and opportunities reflected in the MSCI Emerging Markets Index (USD Net Returns). However, the fund’s investment strategy is not restricted by the benchmark index, as it also seeks to invest in attractive opportunities in emerging market countries outside of the index. This allows the fund to potentially capitalize on broader market trends and opportunities that may not be captured by the benchmark.

• Flexible Currency Investments

  Understanding the complexities and opportunities that come with different currencies, the fund practices a flexible approach to currency investment. It can invest in securities denominated in various currencies, which allows it to navigate and potentially profit from the fluctuations in currency exchange rates. This flexibility is a crucial aspect of its strategy to maximize returns from investments in emerging markets.

• Concentration in Specific Geographies

  One of the hallmark strategies of the fund is its ability to concentrate its investments in a particular country or geographic region when it identifies favorable market conditions or investment opportunities. At times, the fund may allocate 25% or more of its assets to a specific locale, under normal market conditions. This concentrated approach can lead to higher risks but also offers the potential for higher returns if the investments perform well.