December saw a continuation of two key trends of the last six months: the rising US dollar and the falling oil price. The result was pressure on emerging market equities, seen as ‘risk’ assets. In 2015, EM equity market returns will be driven by factors such as growth (most EM economies should see an improvement), interest rates (likely to be cut in a number of key EM countries) and earnings (where our stock picking comes to the fore). After four years of EM underperforming developed markets, another year of capital leaving the asset class and many strategists bearish, it’s hard to argue that emerging market equities are a crowded trade.
We continue to believe that a focus on concentrated portfolios of quality companies with sustainable and growing earnings is the best way to capture the long term opportunities in this asset class.
Please click on the link below to access the full monthly reports:
| December 2014 Performance | 1 Month | 3 Months | 1 Year |
| Magna Emerging Markets Dividend Fund | -1.30% | -0.50% | 8.30% |
| Magna Undervalued Assets Fund | 0.10% | 3.90% | 13.00% |
| Magna Global Emerging Markets Fund | -0.70% | 1.90% | 11.40% |
| Magna New Frontiers Fund | -2.90% | -10.00% | 13.80% |
| Magna Eastern European Fund | -12.70% | -18.70% | -25.00% |
| Magna Latin American Fund | -6.80% | -6.90% | 4.80% |
| Magna MENA Fund | -0.90% | -8.20% | 48.30% |
| Magna Africa Fund | -0.10% | -5.10% | 8.30% |
