Fidelity Emerging Markets Limited (LON:FEML) has announced its monthly factsheet for December 2025.
Portfolio Manager Commentary
Emerging markets gained in December and outperformed developed markets. In this environment, Emerging Europe, the Middle East, and Africa gained the most, followed by Emerging Asia, and then Latin America.
The portfolio delivered positive returns and outperformed the index in December. Both the long and short books were a notable source of strength, while the short index positions also contributed. At a country level, stock selection as well as the underweight exposure to mainland China proved rewarding (although this was partly offset by the stock selection in Hong Kong). Also positive was the stock picking in UK and Canada (via the mining exposure). At a sector level, robust stock picking within the materials and industrials sectors supported performance, while stock selection in financials held back gains. At a stock level, gold mining conglomerates Pan African Resources and Aura Minerals added value as gold prices rallied on the back of the expectations for a rate cut by the US Federal Reserve. Conversely, Brazilian banking company Nu Holdings pulled back with the broader market amid slower credit growth and inflationary pressures.
The Company’s NAV rose by 50.9% during the 12-month period ended December 2025, outperforming its reference index which rose by 24.4% in GBP terms. The Company’s share price rose 56.5% over the same period.
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.
