Capital at risk

Investment strategy

Emerging Markets Leading Companies

Emerging markets (EM) firms often have substantial opportunities and decades of growth ahead. We believe being selective is imperative to achieving superior results. The index is not the best reflection of future growth.

An aerial view of Vietnamese women fishing with traditional nets in shallow water with their wooden boats nearby.

A patient approach in impatient markets

A well-developed approach to investing in the developing world, which aims to help our clients benefit from powerful growth tailwinds. EM investors should be open-minded about where growth can come from. 

Emerging Markets: our philosophy

Investment manager William Sutcliffe introduces Emerging Markets, reflecting on the exciting opportunities ahead.

Turning time to your advantage

We’ve been investing in emerging markets for decades. Our goal is to build strong relationships with like-minded clients. We know we can only do this if we deliver strong investment performance, net of costs, over the long term.  

The number of genuinely world-class companies in the emerging markets is growing, and we feel very fortunate to be tasked with seeking these out. We must invest with patience and give good decisions time to prove themselves. 

Long-standing clients across the globe

We appreciate the under appreciated. And we believe there are three persistent inefficiencies that we are well-placed to exploit for our clients: 

  • Growth duration: many companies grow for much longer than expected 
  • Growth pace: many companies grow much faster than expected 
  • Growth surprise: many companies grow when it’s least expected 

Much of our process relies on the interplay of data, experience, educated creativity and probability. This does not necessarily lend itself to a matrix or a flowchart. 

In nearly 30 years, we have seen enough crises and shocks to know the future is uncertain. As investors our preference is always to embrace uncertainty rather than be paralysed by it.
Will SutcliffeHead of Emerging Markets, Partner

Meet the managers

Documents

Quarterly update

Get the latest investment commentary, portfolio overview, transactions and performance information alongside governance engagement and voting. 

Philosophy and process

Explore our investment philosophy and the processes around how the Emerging Markets team construct the portfolio.

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Strategy portfolio holdings

A list of the top 10 holdings that the representative portfolio invests in.

All figures up to: 30 September 2024

#CompanyFund %
1TSMC13.5%
2Tencent7.1%
3Samsung Electronics6.4%
4MercadoLibre4.8%
5Petrobras Common ADR4.2%
6Ping An Insurance3.6%
7HDFC Bank3.1%
8Meituan2.7%
9First Quantum Minerals2.4%
10Reliance Industries Ltd2.2%

Strategy holdings by sector

All figures up to: 30 September 2024

1Information Technology27.96%
2Financials22.31%
3Consumer Discretionary19.19%
4Communication Services11.00%
5Energy8.43%
6Materials5.28%
7Consumer Staples2.87%
8Industrials2.45%
9Cash0.51%
Total 100%

Strategy holdings by sector

All figures up to: 30 September 2024

Total: 100%

Please note

The information contained on this page is intended as a guide only and should not be relied upon when making investment decisions. All holdings information is unaudited. Source Baillie Gifford & Co. Please note that totals may not add due to rounding.

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Curious to learn more about our products and what we can offer you? Please get in touch.

Insights

Key articles, videos and podcasts relating to the strategy:

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Insights

Viewing 36 of 36
  1. Samsung: chipping away at challenges

    How Samsung turns challenges into opportunities for future growth.
    December 2024
    Article3 minutes
  2. The rise of the Global South

    Unpacking the BRICS summit's outcomes, the Global South's rise and implications for EM investors.
    October 2024
    Article3 minutes
  3. Emerging Markets Q3 investor letter

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments
    October 2024
    Article6 minutes
  4. Emerging Markets Q3 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    October 2024
    Video16 minutes
  5. Travelling Brazil: open for business

    We share the trip notes from our time in Brazil, highlighting the energy sector, sustainability and fintech.
    September 2024
    Article3 minutes
  6. Traffic during twilight of Shanghai China, motion blur visible.

    The brilliance of Brilliance

    Brilliance China Automotive's journey with its partnership, BMW, through governance, engagement, and value.
    August 2024
    Article3 minutes
  7. Traditional Chinese doors with brass lion head door knockers and ornamental studs. The doors are open letting in light.

    China’s third plenum: staying the tech course

    Unveil China's third plenum resolutions focusing on AI, biotech, and renewable energies amid global challenges.
    July 2024
    Article3 minutes
  8. Emerging Markets Q2 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    July 2024
    Video10 minutes
  9. Shareholders are seated in an auditorium, some are raising their hands to vote

    Emerging markets democracy: better than you think

    See what the recent elections in Mexico and India mean for emerging markets investors.
    June 2024
    Article3 minutes
  10. From earth to equity: the platinum opportunity

    Platinum's role in health, tech and green energy.
    May 2024
    Article4 minutes
  11. Will Sutcliffe

    Emerging Markets: our philosophy

    Investment manager William Sutcliffe introduces Emerging Markets, reflecting on the exciting opportunities ahead.
    May 2024
    Video4 minutes
  12. Luckin Coffee: looking forward

    How Luckin Coffee is revolutionising China's coffee culture.
    April 2024
    Article3 minutes
  13. Women in orange saris carrying water at step well in Jaipur, India

    30 years of emerging markets

    Baillie Gifford’s Will Sutcliffe explains how emerging markets have evolved in the last three decades.
    April 2024
    Article15 minutes
  14. High-calibre emerging markets firms

    Why it’s a promising time to invest in exceptional emerging markets companies
    April 2024
    Podcast4 minutes
  15. Emerging Markets Q1 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    April 2024
    Video12 minutes
  16. ESG analyst trip notes: India and China

    Read more about the unique perspective on the evolving energy landscape and corporate governance in these emerging markets.
    March 2024
    Document3 minutes
  17. BRICS expansion and impact

    Unveiling the BRICS expansion's global influence and its effect on trade and geopolitics
    February 2024
    Document3 minutes
  18. Baillie Gifford

    Copper's role in emerging markets

    Assessing copper's supply challenges and investment potential in emerging markets for 2024.
    January 2024
    Document3 minutes
  19. How do we do what we do

    How do we implement our emerging markets equities philosophy in practice?
    January 2024
    Document
  20. Emerging Markets Q4 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    January 2024
    Video11 minutes
  21. Why do we do what we do

    Andrew Keiller and John Rae look at why we invest in emerging markets equities in the way that we do.
    December 2023
    Document
  22. India's triumph in a turbulent world

    Uncover insights on emerging markets, India's economy, and Asia's rising export champions.
    December 2023
    Document3 minutes
  23. China: fear or FOMO?

    Ben Buckler on how investors should steer between the twin poles of risk in China.
    December 2023
    Article5 minutes
  24. Why growth, why now?

    Tough times play to the partnership’s strengths: analysing what enables us to adapt and thrive amid rapid change.
    December 2023
    Article17 minutes
  25. South-east Asia's new export champions

    Uncovering Asia's rising export stars in Vietnam, Indonesia and Thailand.
    November 2023
    Document3 minutes
  26. Emerging markets – why bother?

    Emerging markets have underperformed developed ones recently. So, why should we invest in them?
    November 2023
    Article
  27. Conversations with Shanghai

    Discover the importance of High Bandwidth Memory in AI development and the key players in the market - SK Hynix and Samsung Electronics.
    October 2023
    Document3 minutes
  28. Emerging Markets Q3 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    October 2023
    Video9 minutes
  29. Finding China’s A-share jewels

    The country’s domestic markets are rich in companies with the know-how to become global leaders.
    September 2023
    Article
  30. Beyond the numbers

    An analysis of the relationship between GDP growth and stock market returns in emerging markets, with a focus on China.
    August 2023
    Document3 minutes
  31. Brazil's economic landscape

    Challenging perceptions: Lula's re-election and Brazil's economic potential
    July 2023
    Document3 minutes
  32. Emerging Markets Q2 update

    The Emerging Markets team reflects on recent performance, portfolio changes, and market developments.
    July 2023
    Video18 minutes
  33. Emerging Markets Q1 update

    Emerging Markets Team reflects on recent performance, portfolio changes, and market developments.
    April 2023
    Video15 minutes
  34. Emerging Markets: the possibilist

    Understanding the difference between pessimism and possibility in Emerging Markets.
    May 2022
    Article
  35. Emerging Markets: coming of age

    It’s time to stop looking in the rear-view mirror when it comes to emerging markets.
    October 2020
    Article
  36. Abstract illustration of skyscraper buildings

    The shape of things to come

    It’s essential to be realistic and keep the risk of over-optimism in check. But there’s plenty to feel positive about in emerging markets, says Tim Erskine-Murray, who offers an insight into the reasons for his unwavering enthusiasm.
    November 2019
    DocumentNovember 2019
  1. Emerging Markets Q3 investor letter

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments
    October 2024
    Article6 minutes
  2. Emerging Markets Q3 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    October 2024
    Video16 minutes
  3. Emerging Markets Q2 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    July 2024
    Video10 minutes
  4. Will Sutcliffe

    Emerging Markets: our philosophy

    Investment manager William Sutcliffe introduces Emerging Markets, reflecting on the exciting opportunities ahead.
    May 2024
    Video4 minutes
  5. Women in orange saris carrying water at step well in Jaipur, India

    30 years of emerging markets

    Baillie Gifford’s Will Sutcliffe explains how emerging markets have evolved in the last three decades.
    April 2024
    Article15 minutes
  6. High-calibre emerging markets firms

    Why it’s a promising time to invest in exceptional emerging markets companies
    April 2024
    Podcast4 minutes
  7. Emerging Markets Q1 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    April 2024
    Video12 minutes
  8. How do we do what we do

    How do we implement our emerging markets equities philosophy in practice?
    January 2024
    Document
  9. Emerging Markets Q4 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    January 2024
    Video11 minutes
  10. Why do we do what we do

    Andrew Keiller and John Rae look at why we invest in emerging markets equities in the way that we do.
    December 2023
    Document
  11. China: fear or FOMO?

    Ben Buckler on how investors should steer between the twin poles of risk in China.
    December 2023
    Article5 minutes
  12. Why growth, why now?

    Tough times play to the partnership’s strengths: analysing what enables us to adapt and thrive amid rapid change.
    December 2023
    Article17 minutes
  13. Emerging markets – why bother?

    Emerging markets have underperformed developed ones recently. So, why should we invest in them?
    November 2023
    Article
  14. Emerging Markets Q3 update

    The Emerging Markets Team reflects on recent performance, portfolio changes and market developments.
    October 2023
    Video9 minutes
  15. Finding China’s A-share jewels

    The country’s domestic markets are rich in companies with the know-how to become global leaders.
    September 2023
    Article
  16. Emerging Markets Q2 update

    The Emerging Markets team reflects on recent performance, portfolio changes, and market developments.
    July 2023
    Video18 minutes
  17. Emerging Markets Q1 update

    Emerging Markets Team reflects on recent performance, portfolio changes, and market developments.
    April 2023
    Video15 minutes
  18. Emerging Markets: the possibilist

    Understanding the difference between pessimism and possibility in Emerging Markets.
    May 2022
    Article
  19. Emerging Markets: coming of age

    It’s time to stop looking in the rear-view mirror when it comes to emerging markets.
    October 2020
    Article
  20. Abstract illustration of skyscraper buildings

    The shape of things to come

    It’s essential to be realistic and keep the risk of over-optimism in check. But there’s plenty to feel positive about in emerging markets, says Tim Erskine-Murray, who offers an insight into the reasons for his unwavering enthusiasm.
    November 2019
    DocumentNovember 2019

Explore further

Curious to learn more about our products and what we can offer you? Please get in touch.

Important information

The content of this website is intended exclusively for professional investors in accordance with MiFID legislation. ’Professional investors’ are potential investors who are deemed to have the status of “professional clients”, within the meaning of MiFID (2004/39/EC), as transposed in Ireland. It is not intended for retail investors.

Baillie Gifford Investment Management (Europe) Limited is authorised and regulated by the Central Bank of Ireland (Reference number C182354) as an Alternative Investment Fund Manager and UCITS Manager to Baillie Gifford Worldwide Funds plc. Its registered office is 4/5 School House Lane East, Dublin 2, D02 N279, Ireland.

This website is informative only and the information provided should not be considered as investment or other advice or a recommendation to buy, sell or hold a particular investment. Read our Legal and regulatory information for further details.