Launched in June 1989, TEMIT was one of the first emerging markets funds in the UK. The trust seeks long-term capital appreciation through investment in companies operating in emerging markets, or listed on the stock markets of such countries. This may include companies that have a significant amount of their revenues in emerging markets, but which are listed on stock exchanges in developed countries. Performance is benchmarked against the MSCI Emerging Markets Index.
Templeton Emerging Markets Investment Trust (TEMIT) is by far the largest fund in the AIC Global Emerging Markets sector. Its two managers Chetan Sehgal (lead manager) and Andrew Ness seek companies with robust business models, sustainable earnings growth potential and which are trading at a discount to their estimated intrinsic values. The managers’ considerable experience, coupled with the deep resources of a broad investment team, enables them to identify interesting opportunities that may be overlooked by other investors. While TEMIT’s performance has been disappointing over the last 12 months, partly due to a tighter Chinese regulatory environment, the trust has outpaced the performance of the MSCI Emerging Markets Index over the last three and five years.