Philosophy - Emerging Markets Equity
For its Emerging Markets strategies, GW&K follows a consistent bottom-up, growth-oriented investment process based on the belief that future earnings growth is a key determinant of long-term equity returns. The research discipline focuses on identifying companies that GW&K believes have a high level of sustainable earnings power or the near-term potential to achieve such earnings power. Accordingly, Emerging Markets portfolios typically contain a mix of both traditional growth companies and early stage growth companies. Our overall goal is to provide above benchmark returns at a moderate level of risk.
Our process uses quantitative and qualitative screens to focus research on companies that meet strict criteria as target investments. The process focuses on identifying both proven and early stage growth companies that we believe are likely to deliver superior earnings growth relative to their global industry peers. Investment ideas are subjected to rigorous due diligence, which may include meetings with company management and extensive financial statement analysis and modeling. We believe that a unique aspect of the process is that each analyst evaluates the upside potential versus the downside risk of every security we consider for investment. Our investment risk management approach generally focuses on avoiding losses, rather than minimizing tracking error relative to the benchmark.
GW&K’s Emerging Markets Equity team joined the firm in February 2019, following a long tenure at Trilogy Global Advisors. Information provided on this website that relates to periods prior to February 2109 reflects results achieved by the team at Trilogy Global Advisors (and its predecessor firms).