Dynamic Funds has launched a new emerging markets mutual fund with a mandate that blends growth and value oriented investing, the company announced on Thursday.

Dynamic Emerging Markets Class will be managed by Rohit Sehgal and Chuk Wong, who will apply a combined top-down and rigorous bottom-up approach. The managers will aim to design a portfolio that provides long-term capital appreciation by investing primarily in equity securities of companies located or doing business in emerging markets.

“The degree of economic growth in the emerging markets has provided an abundance of growth stocks to choose from and transformed the equity markets there into a stock picker’s paradise,” said Sehgal, chief investment strategist at Dynamic Funds.

Sehgal is head of the Power team of portfolio managers at Dynamic, drawing on more than 40 years of experience investing in companies globally. He applies a pure growth investment approach, seeking companies that demonstrate the strongest potential for earnings growth.

In contrast, Wong, who is a vice president and portfolio manager at Dynamic Funds, is lead manager for a number of Dynamic’s global and regional value funds. A strict contrarian investor, Wong seeks companies that are generally undervalued because they are out-of-favour, not well covered or misunderstood.

“The rapid economic growth in emerging Asia, favourable demographics in the Indian subcontinent, and abundant natural resources in Latin America and Africa collectively offer investors a rare opportunity to participate in the extraordinary potential of these exciting global markets,” he said.

IE