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The team manages Emerging Market portfolios against MSCI Emerging Markets Indices although customised benchmarks can be accommodated. Clients are a variety of pooled and segregated vehicles available in various jurisdictions. We are also able to offer absolute return and balanced mandates.

Investment Opportunity
To provide exposure to the growing economies and markets within Asia, Europe, Middle East, Africa and Latin America through a diversified portfolio of stocks.

Philosophy
We aim to add value from both country allocation and stock selection through the use of a disciplined investment approach applying quantitative techniques, fundamental analysis and rigorous risk management.

Objectives
To outperform the benchmark index with low relative volatility resulting in strong competitive performance over rolling 3 year periods.

Risk Control
Normal tracking error range for pooled funds:
Overall portfolio  - 3%-7%    
Country portfolios - 4%-12%

Tracking error targets consistent with achieved return objectives. Risk is disaggregated down to the stock level. Weekly performance attribution is conducted.

Investment Team

 Key Strengths

• Experienced Team - Highly experienced (average 13 years) and fully resourced team. The bulk of the global team has been together for over 5 years using the same investment process.
• Team Approach - A unique team structure ensures an improved quality of investment decision and minimal divergent performance between similar client accounts. Clients receive input from all members of the team not just individual Fund Managers.
• Investment Approach - Combination of quantitative country model and fundamental in-house company analysis to capture alpha from multiple sources. Risk controls are employed at portfolio, country and stock levels. This approach has delivered top quartile returns.
• Country Allocation - We use a quantitative multi-factor asset allocation model which ensures a disciplined approach to country selection. Judgmental overlay may then be applied by the team to determine final asset allocation.
• Stock Selection - Stock selection within countries based on internal fundamental research and analysis leading to analysts ranking.
• Risk Management - A risk budget is set for both country asset allocation and stock selection. The latter is alpha adjusted to ensure risk reflects value added.
  Integrated Bond & Equity Teams - Combined resource adds value to the country allocation decision.

Benchmarks
GEM Portfolios are generally managed against the MSCI Emerging Markets Index. Other benchmarks can be established in line with client requests. Cash benchmark for absolute mandates.

Fees
Standard fee: 1.0%. Fees are negotiable depending on the size and nature of the mandate.

Minimum Size for segregated fund
US$ 25m

Emerging Markets Assets under Management
US$ 2.9bn (September 2008) assets either managed directly or on an advisory basis