Ashmore Emerging Markets Equity Fund Institutional Class (EMQIX)

Overview

The fund is designed to focus its investments on equity securities and equity-related investments of Emerging Market Issuers, aiming to capitalize on the growth potential of these markets. With a strategic policy to invest at least 80% of its net assets, along with any borrowed funds for investment purposes, in equity securities of these issuers, the fund commits to concentrating its assets in areas that it believes have significant growth prospects. The flexibility to invest in instruments denominated in any currency, including the issuer's local currency, allows the fund to take advantage of global financial market dynamics and currency movements. By including derivatives and other synthetic instruments with similar economic characteristics in its 80% investment strategy, the fund seeks to leverage innovative financial instruments to achieve its investment objective.

Products and Services

• Equity Securities Investments

  Primarily, the fund invests in equity securities of Emerging Market Issuers, aiming to capture the growth potential within these regions. Equity investments might vary widely, including but not limited to, stocks, preferred stocks, and convertible securities. This broad spectrum allows for diversified investment strategies tailored to the evolving landscapes of emerging markets.

• Equity-Related Investments

  Beyond traditional equity investments, the fund explores equity-related instruments which could include options, futures, and other derivatives that have characteristics similar to direct equity investments. These instruments enable the fund to execute more nuanced investment strategies, such as hedging against market volatility or leveraged plays on certain economic trends within emerging markets.

• Investments in Derivatives and Synthetic Instruments

  Part of the fund's strategy involves investing in derivatives and synthetic instruments to complement its equity investments. These may include financial contracts whose value is derived from the performance of an underlying asset, index, or interest rate. This approach allows the fund to achieve its investment objectives by gaining exposure to certain assets or markets in a more capital-efficient manner. The use of derivatives is accounted for within the fund's 80% policy of concentrating its investments in emerging markets, demonstrating a flexible approach to asset allocation and risk management.

• Currency Diversification

  The ability to invest in securities denominated in any currency, including the local currency of the issuer, offers a strategic advantage. This diversification helps mitigate currency risk and allows the fund to benefit from favorable currency exchange movements, making it an integral part of achieving the overall investment objective. Currency strategies may be employed directly through currency investments or indirectly through financial instruments tied to currency performance.