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The best emerging market fund
Best emerging market funds
Emerging market funds are not funds that most investment professionals believe the average investor should have a good percentage of their assets in. My rule of thumb would be no more than five percent of your assets in any one fund and ten percent of your total portfoilo.
That said I have been asked what emerging markets funds I would recommend. My first recommendation is the Janus Overseas fund symbol JAOSX. This fund is not an emerging markets fund but a global fund which invests in emerging markets. Why would I recommend this fund? One I own it and secondly this fund is set up so it may invest in developed or emerging markets as the manager sees as best for his fund. This fund may invest in Germany or Syria. I want the manager to have the freedom to invest where he feels I the investor will make the most money.
For funds that invest only in emerging markets I can recommend a limited number of funds. Just for the record I will state that I do not own any of these funds unlike most of my other hub where I do own the funds. In my 2011 portfolio I did have a mere five percent stake in one of these funds.
There are a total of three funds I recommend:
Wasatch Emerging Markets Small Cap (WAEMX): This fund is in the top of the class over the last 1 and 3 year periods. Need I say more?
DFA Emerging Markets Small Cap I (DEMSX): This fund is up almost twenty one percent per year over the last ten years and is in the top of the category over the last five years.Karen Umland is the fund manager who has run this fund for the last twelve years.
The last fund is the Lazard Emerging Markets Equity (LZOEX). This fund has been run by the same manager for the last ten years and during that time this fund has racked up a handsome 18.42 percent per year. This fund is part of my 2011 portfolio.
If your going to invest in emerging markets I do like these funds. I do recommend you develop your own asset allocation and invest in the best funds in those asset classes. Once the investor has their asset allocation select the best small cap, best mid cap, global, bond, and even concentrated portfolio funds for your portfolio.