Dodge & Cox, the venerable active mutual fund company, has filed a registration statement with the SEC to introduce its first fund in over six years.
The Dodge & Cox Emerging Markets Stock Fund will also be the firm’s first fund focused on emerging markets, though the firm is no stranger to that universe. Its Global Stock Fund and International Stock Fund held about 13% and 18% in emerging market stocks, respectively, as of June 30.
The new fund will invest at least 80% of total assets in emerging market equities, which it defines as issuers domiciled in emerging markets and issuers that have “significantly economic exposure to emerging market countries,” even if they’re based elsewhere, according to the SEC filing.
Companies outside the MSCI developed market indexes, including frontier markets, will be considered emerging market countries, for purposes of the fund. In addition to individual stocks, the fund may invest in ETFs.
The new fund is expected to charge a 0.70% in total annual operating expenses, including a 0.60% management fee.
Like its other equity funds, the Dodge & Cox Emerging Markets Stock Fund, aims to use a bottom-up approach to investing, selecting assets its team of analysts believe are temporarily undervalued by the market but have a favorable outlook for long-term growth, according to its SEC filing.