Mark Mobius vs Passive Emerging Market Funds (CBS MoneyWatch)
Mark Mobius, the executive chairman of the Templeton Emerging Markets Group, is considered the guru of emerging market investing, but how has his performance been against more passively managed emerging market funds? A CBS MoneyWatch article recently used data from Morningstar to review the returns of the Templeton Developing Markets Trust Class A (MUTF: TEDMX) verses the returns of two passively managed funds, the Vanguard Emerging Markets Stock Index Fund Investor Shares (MUTF: VEIEX) and the DFA Emerging Markets Portfolio Institutional Class (MUTF: DFEMX). This is what was found:
Templeton Developing Markets Trust Class A’s performance actually earned Morningstar’s dreaded one-star rating.
In addition, the performance of the Templeton Emerging Markets Small Cap Fund Class A (MUTF: TEMMX) was compared against the returns of the similar DFA Emerging Markets Small Cap Portfolio Institutional Class (MUTF: DEMSX):
While the Templeton Emerging Markets Small Cap Fund Class A outperformed the DFA Emerging Markets Small Cap Portfolio Institutional Class over a three years period, the latter outperformed it over the one and five year periods.
To read the whole article, Index investing still wins in emerging markets, go to the website of CBS MoneyWatch.
- Why Small Cap Emerging Market Funds Win Big and How to Pick the Right Fund (Barron’s)
- Fundsmith Unveils an Investment Trust Targeting Emerging Market Consumers (FT)
- Terry Smith: Emerging Markets to Outperform Over the Long-term But Brace for Volatility (FE Trustnet)
- No Emerging Markets Crisis According to Mark Mobius (FE Trustnet)
- Emerging Market Closed-End Funds List
- Emerging Market Private Equity Beats Listed Stocks (Asian Investor)
- Oppenheimer’s Leverenz Blames “Radical Collapse” in FX Markets for Poor Performance (WSJ)
- Fund Managers’ Opinions on the UAE and Qatar’s Emerging Markets Upgrade (The National)
- Are Frontier Markets a Calculated Risk? (Bloomberg)
- Why Emerging Markets Are Up to the Stress Test (FP)