How can investors capture the AI opportunity in emerging markets beyond the familiar mega-cap names?
A recent Citywire article highlights how Mobius Investment Trust (MMIT) is finding opportunities further down the value chain, particularly among innovative small and mid-cap companies that often sit outside mainstream emerging market portfolios.
The article looks at two examples from the portfolio: Astor Enerji, a Turkish power transformer manufacturer benefiting from growing investment in electricity grids and AI-related power demand, and King Slide Works, a Taiwanese precision hardware manufacturer whose server rail business has benefited from the rapid expansion of AI infrastructure.
These companies illustrate a broader transformation across emerging markets. Once characterised largely by simpler, consumer-led business models, emerging markets are increasingly at the forefront of R&D, patents and technological innovation.
For us, this reinforces the opportunity to look beyond the index and identify businesses benefiting from structural growth trends that may still be underappreciated by global investors.
Read the full Citywire article here.