Focus Capital

Emerging markets is an asset class where traditional investment approaches can disappoint – we know through experience. We believe no one manager can outperform in all market conditions and furthermore one manager is rarely good at everything.

By considering the different investment approaches and experience of numerous emerging market managers including: equity; bond; and hedge fund managers; we aim to tactically select funds appropriate for current market conditions. 

We run an innovative, and we believe globally unique, absolute return emerging market investment strategy. We call this our Emerging World Strategy. This strategy is multi-asset class and can include emerging market funds that manage: equities; bonds; currencies; long only; and long/short strategies. Our strategy is designed to be performance driven and aims to achieve absolute annual returns regardless of market conditions. We are aiming to achieve superior risk-adjusted returns in emerging markets – seeking sharpe ratios above 2 for our strategy. Our strategic asset allocation and specialist fund selection is used to enhance performance and exploit inefficiencies that exist in emerging markets.

What makes us different to other emerging market managers includes the following. We have the ability to invest anywhere in emerging markets by exploiting multiple specialists managers and investing in their funds. We believe that our specialist emerging market investment experience provides a greater understanding of these markets and the different opportunities that are available. We are an independent company which avoids conflicts of interest and bias. And our emerging world strategy exploits a unique combination of opportunities which requires a different approach.

Our multi-asset class fund of funds approach provide us with the diversification choices and global resources that we believe are necessary in emerging markets and could represent one of the largest and most experienced emerging investment teams in the world. With changes in the investment world, there are many managers we may have worked with or against in the past, who are now running funds that may be suitable for our strategy. Furthermore our established contacts in the broker and institutional markets can provide information on other interesting fund managers.

Our Emerging World Strategy also helps us manage emerging market risks. We believe diversification is one of the best risk management tools for this asset class. By having the ability to consider the full universe of investment opportunities in emerging markets we can increase our diversification possibilities. Our strategy is also designed to increase overall manager and exposure diversification. This can diversify both the sources of risk and return. The diversification we achieve in our strategy can help dilute the overall impact of future emerging market events. We believe such events are a characteristic of cyclical emerging markets.  Our Emerging World Strategy is designed to increase overall diversification.