Matthews Emerging Markets ex China Active Fund (MEMX)

Overview

Under normal circumstances, the fund focuses on achieving its investment objective by allocating at least 80% of its net assets, including borrowed funds for investment purposes, towards the common and preferred stocks of companies based in emerging market countries, with the exception of China. Its investment strategy allows for flexibility to invest in companies situated in developed countries or China as well, but with a limitation. Specifically, investments in companies located in developed countries or China are capped, ensuring that no more than 20% of the fund’s assets are invested in such entities at the time of purchase. This strategy is designed to provide investors with exposure to the growth potential of emerging markets while maintaining a diverse and balanced investment portfolio.

Products and Services

• Investment in Emerging Market Stocks (Excluding China)

  This service focuses on investing in the equities of companies located within emerging market countries, deliberately excluding China from this investment focus. The aim is to tap into the growth potential of emerging markets by allocating at least 80% of the fund's net assets, along with any borrowings for investment purposes, into these markets. This approach is targeted towards investors looking to diversify their portfolio with significant exposure to emerging markets.

• Limited Investment in Developed Market and Chinese Companies

  While the fund primarily invests in emerging markets, it also considers opportunities in developed countries and China, with a strict cap on such investments. Specifically, the fund ensures that no more than 20% of its assets are invested in companies located in developed markets or China at the time of purchase. This allows for a balanced approach to portfolio diversification, coupling the high-growth potential of emerging markets with the stability and established nature of developed markets and Chinese companies.