Ox Capital Management (OxCap) has announced the launch of its flagship emerging market equity fund, the Ox Capital Dynamic Emerging Markets Fund, in association with Fidante Partners.
The new fund would be a concentrated portfolio of companies in Asia ex-Japan and other emerging markets, and would typically hold between 30 to 50 stocks, diversified across countries, sector and thematic exposures.
It would aim to provide an absolute return and capital growth over the long term and outperform the MSCI Emerging Markets Net Total Return Index (AUD) Unhedged benchmark after costs over rolling five-year periods.
The fund would be run by Joseph Lai, a former portfolio manager for the Platinum Asset Management Asia fund. Lai would be accompanied by fellow principals, Douglas Huey and Alan Zhang, and the investment team had grown to five since being founded, with Kate Goodwin and Siddharth Mehta having joined recently.
“Over 70% of global growth and 60% of the world’s GDP [gross domestic product] comes from emerging markets, yet it accounts for just 13% of the MSCI ACWI Index,” Lai said.
“I started Ox Capital Management with a mission to deliver stellar returns for our investors. I have had the privilege and responsibility to manage money for clients for over 17 years investing in emerging markets, and I believe now more than ever that emerging markets are unusually undervalued.”