Imagine a small town in Indonesia, once known only for nickel mining, now a hub of electric vehicle production, driving toward a carbon-neutral future. This community is no longer the exception so much as a bellwether for the broader transformation sweeping through emerging markets (EM).
For decades, investing in EM equities hinged on rising consumer demand, competitive manufacturing, and abundant natural resources. Today, these markets have evolved into global growth engines, contributing twice as much to GDP growth as developed markets (DM).
Yet, EM equity performance continues to lag. Why? Because outdated narratives overshadow the present-day reality:
Emerging markets are increasingly home to a diverse mix of key value-added industries supported by robust service sectors and a rapidly evolving workforce.
In her latest piece, Emerging Markets Equity Portfolio Manager Liz Su explores why investors should shed their old narratives and embrace the EM transformation already underway.
This piece is intended as an editorial review of a survey of risk considerations and does not constitute investment advice, a solicitation, or an offer to buy or sell any security. Past performance does not guarantee future results. All investments involve risk, including the risk of loss of principal.
References to third-party research, publications, and data sources are provided for informational purposes only. Boston Common Asset Management does not warrant the accuracy or completeness of third-party information cited herein. Readers should consult original sources and qualified professional advisors before making any investment decision.
