NEW FUND ANNOUNCEMENT: The Wasatch Emerging Markets Select Fund (December 13, 2012)
Wasatch Advisors, the investment manager to the Wasatch Funds, announced today the launch of the Wasatch Emerging Markets Select Fund (WAESX)
. This no-load mutual fund invests in a select portfolio of 30 to 50 geographically diversified emerging-markets companies of all sizes.
The Fund is managed by Ajay Krishnan. He is joined by veteran international manager Roger Edgley. Edgley is the Director of International Research at Wasatch Advisors and has built an experienced team of portfolio managers and analysts since he joined the firm over 10 years ago. Krishnan and Edgley also co-manage the Wasatch Emerging India Fund and the Wasatch Global Opportunities Fund (along with JB Taylor).
Emerging Markets Select is a new, highly targeted strategy developed by Wasatch for today’s emerging markets. While the Fund can invest in stocks of all sizes, many of the companies are likely to be those that have “graduated” beyond the small-cap focus of some of Wasatch’s other emerging-markets portfolios.
“The Wasatch Emerging Markets Select Fund reflects our strong belief in the potential growth opportunities for fundamental investors in emerging markets,” said Roger Edgley. “In a category dominated by index funds and exchange-traded funds (ETFs), we believe there is demand for actively managed funds looking for ideas beyond the benchmarks. A concentrated approach allows us to focus on our top picks in one portfolio.”
“We generally seek countries with attractively valued stock markets and growing consumer economies driven by domestic (home-country) demand and an expanding middle class,” said Ajay Krishnan. “Unlike many emerging-markets funds, we aren’t as heavily weighted in countries such as China, Korea and Taiwan. Instead, we usually try to uncover attractively priced companies whose fortunes are based on local economies rather than on exports to foreign countries.”
In addition to the Emerging Markets Select Fund, Wasatch manages three other mutual funds focused on emerging markets (including frontier markets and emerging small countries). According to Gene Podsiadlo, Director of Mutual Funds at Wasatch, “We are gratified that our international and emerging-markets portfolios have been accepted by so many institutional clients and financial advisors as actively managed investments that provide potentially high-alpha complements to passive strategies. We believe our track records show there are significant inefficiencies in emerging markets, particularly outside of the mega-cap stocks and outside of the export-driven countries. In a continued effort to try to find these inefficiencies, our portfolio managers and analysts travel the world and visit hundreds of companies each year.”
To learn more about the new Fund and Wasatch’s view on emerging markets, please refer to the Wasatch white paper, Emerging Markets: A Case for Targeted Approaches.
About Wasatch Advisors®
Wasatch Advisors is the investment manager to the Wasatch Funds®, a family of no-load mutual funds, as well as separately managed institutional and individual portfolios. Wasatch Advisors pursues a disciplined approach to investing, focused on bottom-up, fundamental analysis to develop a deep understanding of the investment potential of individual companies. The portfolio managers employ a uniquely collaborative process to leverage the knowledge and skill of the entire Wasatch Advisors research team in making investment decisions. Wasatch Advisors is an employee-owned investment advisor founded in 1975 and headquartered in Salt Lake City, Utah. The firm had $13.1 billion in assets under management as of November 30, 2012.
Mutual fund investing involves risks and loss of principal is possible. Investing in small or micro cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.
An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus, containing this and other information, visit www.WasatchFunds.com or call 800.551.1700. Please read it carefully before investing.
Information in this document regarding market or economic trends or the factors influencing historical or future performance reflects the opinions of management as of the date of this document. These statements should not be relied upon for any other purpose. Past performance is no guarantee of future results, and there is no guarantee that the market forecasts discussed will be realized.
The investment objective of the Wasatch Emerging Markets Select Fund (WAESX) is long-term growth of capital. The Wasatch Emerging Markets Select Fund is new and has limited operating history.
Separately Managed Accounts and related investment advisory services are provided by Wasatch Advisors, Inc., a federally regulated Investment Advisor.
© 2012 Wasatch Funds. All rights reserved. Wasatch Funds are distributed by ALPS Distributors, Inc. (ADI). Gene Podsiadlo is a registered principal of ADI. ADI is not affiliated with Wasatch Advisors, Inc.