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The attraction of small caps in emerging markets

These stocks have depth, offer local exposures, and are under-researched.

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The likelihood of a relatively unknown off-index emerging-market small-cap stock being mispriced is far greater than for a large company such as Samsung Electronics.

EMERGING markets remain at the forefront of the world's most vibrant and fastest-growing economies, with overall GDP (gross domestic product) growth rates comfortably in excess of the developed world, despite much publicised slowdowns in certain countries.

We believe the challenges faced

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