Interactive Investor

Emerging markets veteran Mark Mobius leaves investment trust

The co-manager of Mobius Investment Trust is stepping back five years after launching the trust, reports Sam Benstead

13th November 2023 11:08

by Sam Benstead from interactive investor

Share on

Road sign saying 'retirement ahead' 600

Emerging market (EM) investment pioneer Mark Mobius will leave fund management in the coming months, resulting in Carlos Hardenberg managing the Mobius Investment Trust on his own.

Mobius, aged 87, made his name at Franklin Templeton, where he managed the Templeton Emerging Markets Trust. He began investing in emerging markets in the 1980s, just as investors began to see potential in the emerging world.

The octogenarian was born in New York in the late 1930s to German and Puerto Rican parents. Bloomberg notes that his multi-cultural upbringing was key to his ability to spot investment opportunities outside of the United States.

When he set up Mobius Capital Partners in 2018, he took former Franklin Templeton colleague Carlos Hardenberg with him to continue running emerging markets money.

Hardenberg has been investing in emerging markets and working closely with Mobius for over 23 years and will continue to manage the £141 million trust.

Since launch, the shares have delivered a 27% return compared with a 21% gain for the typical EM trust, and 10% gain for the MSCI Emerging Markets index.

The shares trade on a 10% discount, meaning that net asset value returns have been greater than share prices returns, at 43.5% over the five-year life of the trust.

The trust currently shuns larger EM companies, particularly Chinese shares, preferring technology stocks (61% of the portfolio), in market such as Taiwan (23% of assets), India (20% of assets) and South Korea (15% of assets).

Mobius said: "I am proud of the investment team's strong performance during the last five years which proves that a concentrated and differentiated portfolio of high-quality stocks can generate exceptional returns. As a shareholder of the Mobius Investment Trust, I will be following the company's progress closely and will continue to be available to the team and the board."

Hardenberg adds: “Mobius’ dedication has been instrumental to our success. As we look forward to the future, I intend to promote our most talented employees to the role of partners. This is to acknowledge their strong performance and commitment to Mobius Capital Partners."

These articles are provided for information purposes only.  Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties.  The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.

Get more news and expert articles direct to your inbox