The French asset management company has created a business to focus solely on emerging market opportunities.

Natixis Global Asset Management has launched a Singapore and Paris-based division dedicated to emerging markets.

The new business, called Emerise, will manage a range of emerging market equity funds focusing on long-term growth and portfolio diversification. The offering, covering all market capitalisations and aimed at both professional and non-professional investors, will be available through the firm's global distribution platform.

Using the MSCI Emerging Markets Investable Market Index, Emerise will include small- and mid-cap stocks with strong growth prospects in all of its portfolios, which will each hold between 50 and 70 stocks.

“As a stock picker, Emerise selects growth stocks combining three key fundamentals: stable earnings growth, solid economic fundamentals and clear competitive edge with high value-added,” said a spokesperson for Natixis Global Asset Management.

“On-the-ground research and in-depth knowledge of companies’ management teams form the core of its investment philosophy.”

The asset manager set out the launch in the context of emerging markets' underestimated potential, in its view, highlighting that these economies represent more than half of global GDP yet their market capitalisation accounts for only a tenth.

Emerise’s fund managers will make almost 1,500 company visits a year, carry out an in-depth analysis of around 300 companies and constantly track close to 100 of these.