Aberdeen Investments offers a contemporary emerging markets equity strategy with a core risk profile and strong focus on cash generative companies with strong earnings growth to Australian investors, effective 30 September.

The abrdn Emerging Markets Equity Fund, previously known as abrdn Sustainable Emerging Opportunities Fund, will be managed by senior investment director, Matt Williams, and supported by the Aberdeen global emerging market equity group. The fund invests in a concentrated portfolio of around 80 to 100 emerging market listed equities. It aims to achieve a return (after fees) exceeding the MSCI Emerging Markets Index (AUD unhedged) over a rolling 5 year period.

The fund has broadened its market exposure, providing investors with income and long-term growth through investment in companies listed in, or significantly exposed to, emerging markets. Its holdings include Taiwan Semiconductor Manufacturing (TPE: 2330), Samsung Electronics (KRX: 005930), and Alibaba Group Holding (BCBA: BABA).

Mr Williams says the fund seeks to invest in the highest conviction and income ideas in the emerging market world.

“Emerging markets (EM) have demonstrated strong performance in 2025, rebounding from previous years of underperformance. Valuations for EMs are still attractive, the US dollar is peaking and CAPEX spending is increasing, which are all positive factors for further outperformance by this asset class.

“The goal of our strategy is to deliver a premium and growing income stream for investors across the investment cycle, while observing Aberdeen’s well regarded ESG principles. In delivering our targeted outcome, we aim to capitalise on two specific inefficiencies in emerging markets, which are the compounding effects of dividends and undervalued company fundamentals.

“We recognise that income plays a crucial role in generating significant portions of shareholder returns, yet remains an underappreciated aspect in emerging markets. EM companies, in many cases, have the distinct ability to grow while paying attractive dividends,” says Mr Williams.

ESG principles and stewardship remain upheld throughout the investment process, with ESG screening still applied to restrict investments in lagging ESG performers and companies that violation the UN Global Compact.

SG Hiscock & Company is the exclusive distributor of the abrdn Emerging Markets Equity Fund in the Australian market.

SG Hiscock’s head of distribution, Anthony Cochran says an income focused fund that invests in the emerging world will appeal to Australian investors looking to diversify their equity allocation.

“Matt and the global emerging markets equity team have a solid track record at delivering great returns to investors.

“We believe this fund will complement many investors’ portfolios as they seek to diversify equity exposure across a range of asset classes.

“The fund’s strategy to invest in income generating equities, will also appeal to those investors seeking a regular income stream from their investments, however without compromising on potential capital growth,” says Mr Cochran.

The minimum initial investment in the fund is $20,000.