DENVER, Dec. 22, 2010 /PRNewswire/ -- The Chartwell Emerging Markets Freedom portfolio includes 15 countries from the MSCI Emerging Markets Index. As proxies for each market, Chartwell uses country-specific exchange-traded funds or ETFs.
The countries included in this basket are India, Brazil, Indonesia, South Korea, Taiwan, Chile, Mexico, Peru, Israel, South Africa, Turkey, Philippines, Malaysia, Thailand and Columbia.
Over the past 12 months, the Chartwell Emerging Markets Freedom portfolio is up 29.71% versus 13.16% for the MSCI Emerging Markets Index Fund.
The Chartwell Asia Freedom portfolio excludes China and Vietnam while including Japan, Australia, South Korea, Taiwan, Hong Kong, India, Singapore, Malaysia, Indonesia, Thailand, Philippines and New Zealand.
Over the last 12 months, the Chartwell Asia Freedom portfolio is up 25.52% versus 13.16% for the MSCI Emerging Markets Index Fund.
According to Chartwell's Managing Director Carl Delfeld, "These funds are for the many investors who want to capture emerging market growth but are uncomfortable with the concentrated economic power of countries such as the Chinese state."
Delfeld added, "From 35% to 50% of the Chinese economy is still in the hands of the state and that all of the major banks and 34 of the top 35 companies listed on the Shanghai market are owned or controlled by the government."
Yale professor Zhiwu Chen estimates that the government owns more than 70% of China's productive wealth including enterprises, resources and land. This has implications for foreign companies seeking to grow with China. Author Frank Sieren notes, "No large foreign enterprise - be it in the steel, chemical or pharmaceutical, banking or insurance industry - can take a direction in China with which the government is not in agreement."
Chartwell Partners is an Asia and emerging markets advisory firm. Carl Delfeld is a Forbes Asia columnist who headed up the Japan/South Korea group in Boston with Bank of America, opening Asian markets as a Vice President with Robert W. Baird, served as a consultant on emerging markets to the U.S. Treasury and U.S. Congress, and as a U.S. Representative to the executive board of the Asian Development Bank in Manila, Philippines during the administration of George H.W. Bush. He is a graduate of the Fletcher School of Law & Diplomacy and studied at Keio University and Sophia University in Tokyo, Japan.
SOURCE Chartwell Partners