The fund will be managed by four advisers, each of which will initially oversee 25% of the fund’s assets.
According to the announcement, the advisers are:
- M&G Investment Management Limited. Portfolio managers Matthew Vaight and Michael Godfrey will use a valuation-based, return on capital-focused approach to create a portfolio with no country or sector constraints.
- Oaktree Capital Management, L.P. The portfolio managers, Tim Jensen and Frank Carroll, will employ a bottom-up research process to invest in a diversified portfolio, limiting exposures by country and industry to avoid concentrated bets.
- Pzena Investment Management, LLC. The firm will follow a deep value strategy to invest in stocks based on the research of the three portfolio managers, John Goetz, Caroline Cai, and Allison Fisch, supported by a team of analysts.
- Wellington Management Company, LLP. Portfolio manager Cheryl Duckworth, along with the experience of Wellington’s team of global industry analysts, will seek to add value through in-depth fundamental research.
The Vanguard Emerging Markets Select Stock Fund is expected to have an expense ratio of 0.95% ($9.50 for every $1,000 invested) which is 40% less than the 1.68% expense ratio of the average actively managed emerging markets fund, the announcement said.