united kingdomen

Emerging markets

Moving beyond short-term noise

Back in 1930, we made our first emerging market investment in Peru. Today, we manage more than EUR 30 billion (December 2019) in a wide range of emerging market strategies.

Paper: 25 years of emerging market investing

Long-term view

  • Emerging markets are not homogeneous but instead a grouping of very different countries that are in constant evolution and at different stages of development. With investments often driven by retail investors and short-term market noise, it is vital to have a long-term view to uncover structural drivers in emerging markets. 

  • This long-term investment view and Robeco’s quant and sustainable investing capabilities together allow us to harness the diverse opportunities across emerging markets.

    Guide to emerging markets

Putting our researchers’ minds to use in emerging markets

  • All investment decisions should be research driven. This was our founders’ firm belief and it is especially true for emerging markets, where data can be challenging due to shorter time series or the need for data cleansing. A strong focus on research and data analysis is pivotal to finding opportunities in inefficient markets and benefiting from the risks and opportunities. Robeco researchers, for example, have published a fantastic collection of articles demonstrating the success of factor investing in emerging markets. But the real beneficiaries of these insights are our clients. 

  • Factors work better in emerging markets—the less mature the market is, the larger returns from anomalies are. A wide range of EM strategies are based on our proven factor investing models, from low volatility to enhanced indexing, to sustainable versions with specific carbon targets. We were one of the first to offer quantitative emerging market strategies and to launch a low-volatility strategy, and to develop Chinese A-shares quant strategies. Our Quantitative Equities team now manages over EUR 23 billion (December 2019) in emerging markets strategies.

    Our strategies

ESG Integration in emerging markets: challenging but crucial

  • Emerging markets often feature poor transparency, lower governance standards, human rights issues, and lack product safety standards. Integrating ESG in investment decisions is a challenge. However, in emerging markets most of all, researching ESG data in-depth is key to uncovering ESG-related risks and unlocking the potential source of alpha in ESG information for investors.

    We integrate ESG analysis into the investment decision-making process for all our emerging market capabilities. And our emerging markets team has incorporated sustainability into its company analysis for over 15 years and been conducting its proprietary ESG survey since 2001.

    Interview: ‘We seek similar returns, but with a better sustainability profile’

Tap into our expertise

Keep up with our knowledge and trends through articles, podcasts and videos:

More insights

Tap into our expertise

Keep up with our knowledge and trends through articles, podcasts and videos:

More insights
Broadening credit opportunities through emerging market corporate debt
Broadening credit opportunities through emerging market corporate debt
It is a misperception that emerging market companies are small, risky and single-focused.
03-07-2020 | Interview
Pandemic starts process of EMs decoupling from each other
Pandemic starts process of EMs decoupling from each other
China, Taiwan and South Korea are among the farthest ahead on the path of normalization.
11-06-2020 | Insight
Pet care market: well-prepared to weather the Covid-19 storm
Pet care market: well-prepared to weather the Covid-19 storm
Broad-based socio-demographic shifts are among the structural changes that form the focus of our Global Consumer Trends strategy.
08-06-2020 | Insight
US-China conflict: the pressure intensifies on ADRs
US-China conflict: the pressure intensifies on ADRs
Over the past few weeks, the US has ratcheted up its rivalry with China, with various announcements that go beyond a focus on restricting trade of goods.
27-05-2020 | Insight
A negative oil price – a market quirk, or the ‘new normal’?
A negative oil price – a market quirk, or the ‘new normal’?
The price of US oil temporarily dipped below zero for the first time in history, which means an oil supplier has to pay someone to take it off their hands.
21-04-2020 | Insight
The conundrum: China or the US?
The conundrum: China or the US?
If you ask me what keeps my mind busy at the moment, I can tell you that it is not market volatility.
15-04-2020 | Column
Is it time to favor North Asia over the US?
Is it time to favor North Asia over the US?
We thought we had seen it all, or almost all, and then the ball comes out of left field.
14-04-2020 | Quarterly outlook
Staying the course and being selective reaps long-term rewards in EM
Staying the course and being selective reaps long-term rewards in EM
Emerging markets equity strategies with their value tilt should typically underperform in risk-off markets.
08-04-2020 | Insight
In addition to emerging markets, we also have four other key strengths: