Trustnet Magazine 88 October 2022 | Page 50

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Mobius Investment Trust

Mark Mobius ’ s trust has made more than double the gains of the MSCI Emerging Markets index since launch in 2018

Many investors automatically enter wealth-preservation mode when saving for retirement . But with a time horizon stretching into decades , it makes sense to maintain exposure to assets with a high risk / reward trade-off . One option is to look to emerging markets , which should have more room to grow than their developed peers . While the asset class has underwhelmed in the past decade – the MSCI Emerging Markets index has returned less then a third of the gains of its MSCI World counterpart – there have been pockets of success . In 2018 , veteran fund manager Mark Mobius , formerly of the Templeton Emerging Markets Investment Trust , launched his eponymous asset management firm with former colleague Carlos Hardenberg .
The Mobius Investment Trust has made 31.4 % over this time , more than double the gains of the MSCI Emerging Markets index . Mobius told Trustnet that one of the trust ’ s main selling points is his team ’ s ability to look off-benchmark and towards companies that are flying under the radar . “ All of our investments , with the exception of one , are not in any major index , which is an indication of our active engagement and of looking for things that others are not ,” he said . To qualify for inclusion in Mobius ’ s trust , companies must deliver a strong return on capital and demonstrate long-term earnings growth , with low levels of debt . Once the managers have studied companies ’ financials , they conduct
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