Emerging market equities have hit all-time highs, lifted by investor enthusiasm for artificial intelligence and a shift away from expensive developed-market tech stocks.
The MSCI Emerging Markets Index climbed to a record level as capital moved into undervalued regions with exposure to global tech demand. Asian markets, in particular, have benefited from AI-linked manufacturing and supply chain positioning.
This shift comes amid signs that US equities, especially in the technology sector, may be fully priced. As a result, fund flows have increasingly favoured ex-US assets, with emerging market shares gaining the most traction. A weaker dollar has also played a role, making EM stocks more attractive on a relative basis.
Fidelity Emerging Markets Limited (LON:FEML) is an investment trust that aims to achieve long-term capital growth from an actively managed portfolio made up primarily of securities and financial instruments providing exposure to emerging markets companies, both listed and unlisted.
