Charles Jillings, CEO at Utilico Emerging Markets Trust (UEM), explains why emerging markets in general and the UEM portfolio is set for significant growth in 2024.
In an End of Year Review with focusIR, Charles provides an in-depth overview of why emerging markets are still of interest to global investors given Central banks have yet to reduce interest rates from 'all-time highs' as inflation subsides and investors rotate out of bonds and into risk assets such as equities.
Charles also outlines why he believes the UEM portfolio in particular is poised for a strong performance in 2024 across Brazil, India, China and Vietnam and highlights why China, despite their well-publicised economic issues, could still achieve 5% growth next year.
Reasons to add UEM to your watchlist:
1) Emerging Markets are poised to benefit from Central Banks cutting interest rates in 2024
2) UEM offers exposure to this growth with a diversified portfolio of 80 to 85 stocks
3) The closed end fund is 100% invested in emerging markets
4) Underlying portfolio trading at c. 20% discount to peers
5) UEM currently trading at c. 13.5% discount to NAV
6) UEM pays a quarterly dividend at c. 4% yield.
Utilico Emerging Markets (UEM)