Calvert Investments Launches Calvert Emerging Markets Equity Fund
New Fund Emphasizes Sustainability by Investing in Countries Expected to Have Attractive Growth
November 1, 2012///BETHESDA, MD/// Calvert today announced the launch of the Calvert Emerging Markets Equity Fund, its latest sustainable and responsible investment (SRI) mutual fund, part of a series of investment portfolios known as Calvert Solutionâ„¢ Strategies. The Calvert Emerging Markets Equity Fund (CVMAX) is sub-advised by Hermes Investment Management Limited, based in London.
The Fund seeks long-term capital appreciation by investing primarily in equity securities of companies located in emerging market countries, using the Fund's sustainability and corporate responsibility criteria. The Fund may invest in companies of any market capitalization size, but seeks to have market capitalization size characteristics similar to that of the MSCI Emerging Markets Index.
"We see a growing opportunity in emerging markets," said Natalie Trunow, Chief Investment Officer, Equities, at Calvert Investment Management, Inc. "Emerging markets remain the fastest growing segment of the global economy, responsible for 85% of all global growth since the beginning of 2008. While the pace has slowed, the estimated ranges of growth rates are still significantly greater than the estimated range of GDP growth rates in developed countries."
"Deep structural changes underway in the global economy are creating inefficiencies in emerging markets, as many local and retail investors lack the tools to adequately discount rapid social, political and economic developments," commented Gary Greenberg, Lead Portfolio Manager and Head of Hermes Emerging Markets. "The volatility caused by these changes means that, at times, quality companies in countries with conditions that are supportive to growth will trade at very attractive valuations, allowing us to profit from temporary bouts of adverse market sentiment."
"Aiding the investment process are Calvert's sustainability criteria; environmental, social and governance concerns are critical watchwords for emerging market investing," said Bennett Freeman, Senior Vice President for Sustainability Research and Policy at Calvert Investments. "In virtually every industry and sector, companies must address sustainability challenges ranging from climate and water, to development and poverty, to rights and governance. Their willingness to do so can both diminish a range of material risks, but also enhance their ability to grow new products and services which offer sustainability solutions to new customers and markets." Calvert played a leadership role in a worldwide, multi-year effort to push for greater ESG transparency in emerging market companies.
Calvert Solution™ strategies consist of portfolios that selectively invest in companies that produce products and services designed to solve some of the most pressing environmental and social challenges.Â Generally, these strategies will seek to invest in companies that produce or market technologies that enhance the environment, public health and quality of life and in turn contribute positively to addressing U.S. and global sustainability challenges.
About Calvert Investments
Calvert Investments is an investment management company that offers mutual funds and separate accounts to institutional investors, retirement plans, financial intermediaries, and their clients. By combining rigorous analysis with independent thinking, our disciplined approach to money management goes beyond traditional factors in order to manage risk and to identify investment opportunities with greater long-term potential. We offer more than 40 equity, bond, cash, and asset allocation investment strategies, many of which feature integrated corporate sustainability and responsibility research. Founded in 1976 and based in Bethesda, Maryland, Calvert Investments managed assets of more than $12 billion as of October 19, 2012.
Investment in the Fund involves risk, including possible loss of principal invested. Investing in foreign securities involves additional risks relating to political, social, and economic developments abroad, differences between the regulations that apply to U.S. and foreign issuers and markets, the potential for foreign markets to be less liquid and more volatile than U.S. markets, and currency risk associated with securities that trade or are denominated in currencies other than the U.S. dollar. In addition, the risks of investing in emerging-market securities are greater than those of investing in securities of developed foreign countries.
For more information on any Calvert mutual fund, please call Calvert at 800.818.8397 for a free prospectus. An investor should consider the investment objectives, risks, charges, and expenses of an investment carefully before investing. The prospectus contains this and other information. Read it carefully before you invest or send money.