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Emerging Market Solutions

Blending the science of quantitative research with the art of active fundamental analysis provides a holistic view of emerging markets (EM) opportunities. Our range of EM equity, fixed income and multi-asset solutions harnesses this approach, complemented by an innovative technology toolkit, to help deliver better outcomes for our clients.

Why Emerging Markets?

Transformative Trends Drive Long-Term Growth Opportunities and Income Potential

Emerging markets can offer the potential for strong long-term growth and income generation if you have the expertise to actively seek out the most attractive investment opportunities, while managing the associated risk and volatility. Exposure to EM can also offer diversification to complement a broader developed market portfolio. 

Drivers of Change and Innovation

Themes such as the continuing rise of middle-class wealth, accelerated digital transformation, nearshoring and decarbonization are set to be key growth drivers across asset classes. Many EM companies are at the forefront of innovation in these areas, presenting attractive investment opportunities.

Market and Macro Catalysts

After a challenging decade for EM, global investors are starting to reallocate due to a potential weakening of the US dollar and the anticipated rate cuts by the Fed and other central banks. Opportunities for return potential and mispricing across asset classes are also being driven by divergences in economic cycles, corporate fundamentals and currencies. 

Alpha* Potential and Diversification

The variety within EM across geographies, asset classes and sectors present a unique opportunity to uncover a range of diversified, high quality investment ideas—and to capture alpha potential. EM assets also tend to have low correlation with developed market assets, offering diversification benefits and potentially reducing overall portfolio risk.

The value of an investment can go down as well as up and investors may not get back the full amount they invested. Capital is at risk. There can be no assurance that any investment objectives will be achieved.

*Alpha is a measure of the active return on an investment, i.e. the performance of that investment compared with a suitable market index.

Why AB for EM?

Blending Art and Science for Better Outcomes

Quantitative research uses historical data and statistical techniques to identify the areas with most return potential. Fundamental research can uncover opportunities and identify downside risks based on human experience and perspective. In our multi-asset portfolios, we also use quant and tech tools to help inform the tactical asset allocation process.

For illustrative purposes only.
Source AB 

Advanced Technology Integration 

Researching emerging markets can be challenging. Tools that help identify and monitor risks or incorporate real-time data and localized insights can help to address these challenges. They are crucial for thoroughly understanding investment opportunities and optimizing performance outcomes across the different asset classes.

At AB, we have developed a suite of advanced proprietary tools that form an integral part of our decision-making processes. From analysing currency risk to company fundamentals to enhancing trading and portfolio construction, our range of tools help us scrutinize potential sources of alpha and improve risk management across our breadth of investment solutions.

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Experienced Team, Global Footprint

Continuous collaboration across asset classes as well as between our global team of analysts and portfolio managers helps to provide a 360° view of emerging market opportunities.

30
Years experience innovating and investing in EM
85
Number of research analysts globally
115
Number of technology specialists
14
Local languages covered

As of 30 June 2024.

Featured Strategies

Diverse Access to Areas of Opportunity

Whether you are looking for broad emerging market exposure or a more focused allocation, our range of solutions provides access to a wide variety of investment opportunities across equity, debt and currencies.

  1. Emerging Markets Equities
  2. Emerging Markets Fixed Income
  3. Emerging Markets Multi Asset

Emerging market equities offer investors opportunities for long-term returns at what we believe are attractive valuations relative to developed markets. Our range of solutions aims to invest in quality companies that in our view are best positioned to harness the undervalued growth inherent within emerging markets. 

  • All China Equity

  • Asia ex Japan

  • China A Shares

  • Emerging Market Strategic Core

  • Emerging Market Opportunities

  • Emerging Market Value

Our emerging market fixed income strategies provide investors access to the full spectrum of opportunities within the asset class, including hard and local currency, sovereign and corporate. This diversified range of solutions offer the potential for strong returns from a combination of price appreciation and income.

  • Emerging Market Corporate Debt

  • Emerging Market Corporate Debt High Grade

  • Emerging Market Debt Blend

  • Emerging Market Debt Diversified

  • Emerging Market Debt Hard Currency

  • Emerging Market Debt High Grade

Taking a multi-asset approach to emerging market investing unlocks a broader set of potential opportunities. Our solution offers clients growth and income, while managing risk through diversification and tactical asset allocation. 

  • Emerging Markets Multi-Asset

The value of an investment can go down as well as up and investors may not get back the full amount they invested. Capital is at risk. There can be no assurance that any investment objectives will be achieved.

Find Out More About Our Strategies

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Research Insights

China’s Slowing Growth Masks a Promising Investing Landscape

Following a recent grass-roots research trip, John Lin, Chief Investment Officer – China Equities, and Stuart Rae, Chief Investment Officer – Emerging Markets Value Equities, discuss their outlook on the Chinese economy and delve into where they believe the pockets of attractive opportunities can be found.

View more Insights

This is a marketing communication. This information is provided by AllianceBernstein (Luxembourg) S.à r.l. Société à responsabilité limitée, R.C.S. Luxembourg B 34 305, 2-4, rue Eugène Ruppert, L-2453 Luxembourg. Authorised in Luxembourg and regulated by the Commission de Surveillance du Secteur Financier (CSSF). It is provided for informational purposes only and does not constitute investment advice or an invitation to purchase any security or other investment. The views and opinions expressed are based on our internal forecasts and should not be relied upon as an indication of future market performance. The value of investments in any of the Funds can go down as well as up and investors may not get back the full amount invested. Past performance does not guarantee future results.

This information is directed at Professional Clients only and is not intended for public use.

© AllianceBernstein L.P.