Stewart Investors has launched the Global Emerging Markets (ex-China) Leaders Sustainability fund to be helmed by fund manager Jack Nelson. The portfolio identifies 25-45 mid-to-large-cap companies outside mainland China, contributing to a more sustainable future for emerging markets.
The fund has been launched to work alongside a dedicated Chinese funds, which have proven popular among investors in recent years, the firm said. Most emerging market funds invest heavily in China, meaning people who own both are likely to be double dipping into the region.
However, the fund should also appeal to investors who have concerns over investment risk in Chinese markets.
It joins Stewart Investor’s range of sustainability funds, including the Asia Pacific Leaders Sustainability Fund, which holds £6.7bn in assets under management.
Nelson said there was a “real opportunity in the years ahead” for sustainable investors to make strong returns in the region. “Emerging markets are a melting pot for forward-thinking and innovative companies contributing positively to sustainable development,” he said.