Morgan Stanley Investment Management’s emerging markets leaders strategy has been appointed by LGIAsuper to help find pockets of growth.
Morgan Stanley said the strategy’s investment team looks for specific growth sectors in emerging and frontier markets, targets lower volatility and uses secular and structural themes that support steady earnings to deliver sustainable and increased returns on invested capital.
LGIAsuper chief executive, David Todd, said “faced with the challenges of investing in a low growth environment Morgan Stanley Investment Management’s approach to finding ‘pockets of growth’ is a key addition to our portfolio, enabling us to participate in growth in emerging and frontier markets,”.
“The team’s franchise style investing criteria also offers LGIAsuper members potential downside protection in the event of further volatility.”
Also commenting, the strategy’s lead portfolio manager, Ashutosh Sinha, said the appointment was an endorsement of the investment process and capabilities.
“The market outlook for 2016 remains challenging, and in this persistent low growth environment we believe active strategies such as ours are best placed to offer investors absolute returns from emerging markets,” Sinha said.
“We are steadfastly focusing the portfolio on what we believe are unique opportunities for sustainable long-term growth.”
The strategy has over $500 million in assets under management as at 31 March 2016.
