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Fundamental. Thinking. Worldwide.
Emerging Markets Review | Second Quarter 2020
HARDING LOEVNER 2
Harding Loevner ProfileAs of June 30, 2020
Data as of June 30, 2020. Total AUM includes all the assets under management and is presented as supplemental information. Please read the disclosures on the last page, which are an integral part of this presentation.
42 investment professionals Emerging Markets portfolio management team averages 12 years at Harding Loevner
Total Assets$67B
Strategy Assets Firm Assets
Global $17.8B 26%
International (non-US) $32.7B 49%
Emerging Markets $15.9B 24%
Frontier Emerging Markets $0.2B <1%
Global Small Companies <$0.1B <1%
International Small Companies $0.4B 1%
Research Portfolios <$0.1B <1%
HARDING LOEVNER 3
Quality & Growth Investment PhilosophyAs of June 30, 2020
Source: FactSet. Growth and volatility metrics are based on five-year historical data; the other ratios are based on the most recent annual data. All metrics and ratios are percentagespresented as weighted medians. Please read the disclosures on the last page, which are an integral part of this presentation.
37.2
47.6
82.3
Debt/Equity
3.6 3.4
5.3
Std Dev of ROE
7.4
11.7
13.6
6.6
9.1
10.3
5.8
11.2
9.2
Sales Growth Earnings GrowthCash Flow
Growth
16.3
8.9
19.5
14.3
6.4
14.413.6
7.4
17.4
Profit Margin Return on Assets Return on Equity
Faster GrowthMore Profitable Lower Risk
Harding Loevner Emerging Markets Model MSCI Emerging Markets Index MSCI World Index
HARDING LOEVNER 4
Composite Performance SummaryAs of June 30, 2020
1Annualized Returns; 2Inception date November 30, 1989; 3The Benchmark Index; 4Gross of withholding taxes. The performance returns shown are preliminary.The Emerging Markets Composite contains fully discretionary, fee-paying accounts investing in US and non-US equity and equity-equivalent securities and cash reserves, and is measuredagainst the MSCI Emerging Markets Index (Gross) for comparison purposes. Harding Loevner LP is an investment adviser registered with the Securities and Exchange Commission. HardingLoevner is an affiliate of Affiliated Managers Group, Inc. (NYSE: AMG), an investment holding company with stakes in a diverse group of boutique firms. Harding Loevner claims compliance withthe Global Investment Performance Standards (GIPS®). Harding Loevner has been independently verified for the period November 1, 1989 through March 31, 2020. Verification assesseswhether (1) the firm has complied with all composite construction requirements of the GIPS standards on a firm-wide basis and (2) the firm’s policy and procedures are designed to calculateand present performance in compliance with GIPS standards. The Emerging Markets Composite has been examined for the periods December 1, 1998 through March 31, 2020. The verificationand performance examination reports are available upon request. Performance data quoted represents past performance; past performance does not guarantee future results. Returns arepresented both gross and net of management fees and include the reinvestment of all income. Net returns are calculated using actual fees. The US dollar is the currency used to expressperformance. For complete information on the construction and historical record of the Emerging Markets Composite, please contact Harding Loevner at (908) 218-7900 or visitwww.hardingloevner.com. The firm maintains a complete list and description of composites, which is available upon request.Please read the disclosures on the last page, which are an integral part of this presentation.
3 Months YTD 1 Year 3 Years1 5 Years1 10 Years1 Since Inception1,2
HL Emerging Markets Equity (gross) 17.32 -14.55 -6.72 0.81 3.82 5.69 11.58
HL Emerging Markets Equity (net) 17.06 -14.95 -7.56 -0.09 2.91 4.75 10.67
MSCI Emerging Markets Index3,4 18.18 -9.67 -3.05 2.27 3.23 3.63 8.45
Up/Down Capture (trailing five years, annualized): 101/99
Performance (% Total Return)
HARDING LOEVNER 5
MSCI EM Index Total Returns by Quality, Growth, and Value Rank
Source: FactSet; Data as of June 30, 2020. Please read the disclosures on the last page, which are an integral part of this presentation.
2Q20Fast growth and expensive stocks outperformed.
Year to DateFastest growth & most expensivestocks stronglyoutperformed.High quality also outperformed.
0
5
10
15
20
25
30
Highest Lowest
Ret
urn
(%)
Quality Rank Quintiles
0
5
10
15
20
25
30
Fastest Slowest
Growth Rank Quintiles
0
5
10
15
20
25
30
LeastExp.
MostExp.
Value Rank Quintiles
-25
-20
-15
-10
-5
0
5
10
15
LeastExp.
MostExp.
Value Rank Quintiles
-25
-20
-15
-10
-5
0
5
10
15
Highest Lowest
Ret
urn
(%)
Quality Rank Quintiles
-25
-20
-15
-10
-5
0
5
10
15
Fastest Slowest
Growth Rank Quintiles
HARDING LOEVNER 6
-30% -20% -10% 0% 10% 20%
MSCI EM
ARG Peso
BRZ Real
TUR Lira
PER Sol
IND Rupee
CHN Renminbi
MAL Ringgit
SKO Won
PHI Peso
TWN Dollar
SAF Rand
MEX Peso
HUN Forint
CHL Peso
POL Zloty
CZH Koruna
THAI Baht
COL Peso
RUS Ruble
IND Rupiah
1H20 2Q20
Source: Bloomberg Data as of June 30, 2020. *Currency returns based on change in spot rate vs US Dollar for each currency and for MSCI EM it represents the difference in the MSCI EM Index performance in Local Currency and the MSCI EM Index performance in US Dollars.
Currency Returns
0.035
0.040
0.045
0.050
0.055
Spo
t Rat
e
0.160
0.180
0.200
0.220
0.240
0.260
Spo
t Rat
e
0.012
0.013
0.014
0.015
0.016
0.017
Spo
t Rat
e
Mexican Peso
Brazilian Real
Russian Ruble
Currency Returns for Periods Ended June 30, 2020* Spot Rates Relative to US Dollar
HARDING LOEVNER 7
South Africa
Brazil
Taiwan
India
South Korea
Russia
MSCI EM Index
Small Emerging Markets¹
HL EM Composite
China
Mexico
Health Care
Materials
Comm Services
Energy
Cons Discretionary
Info Technology
MSCI EM Index
HL EM Composite
Industrials
Cons Staples
Utilities
Financials
Real Estate 11.0
15.4
17.3
17.3
18.2
18.9
19.6
20.6
21.5
22.9
27.5
0.0 10.0 20.0 30.0 40.0
6.1
7.7
10.8
13.4
16.9
17.3
18.2
20.6
22.3
23.1
23.4
24.4
37.5
0.0 10.0 20.0 30.0 40.0
Benchmark Sector/Region ReturnsSecond Quarter
1Includes the remaining emerging markets, which individually comprise less than 5% of the Index.Source: FactSet; Data as of June 30, 2020. Past performance does not guarantee future results. Please read the disclosures on the last page, which are an integral part of this presentation.
Sector Total Return (%) Region Total Return (%)
HARDING LOEVNER 8
Performance Attribution: Composite vs BenchmarkSecond Quarter
¹Emerging markets or frontier markets companies listed in developed markets; ²Includes countries with less-developed markets outside the Index; ³Includes the remaining emerging markets,which individually, comprise less than 5% of the Index. Past performance does not guarantee future results.“Composite”: Emerging Markets Composite. “Benchmark”: MSCI Emerging Markets Index.Sector and Region Attribution and Contributors and Detractors are shown as supplemental information only and complement the fully compliant Emerging Markets Composite GIPSPresentation. The portfolio holdings identified above do not represent all of the securities held in the portfolio. It should not be assumed that investment in the securities identified has beenor will be profitable. The following information is available upon request: (1) information describing the methodology of the contribution data and (2) a list showing the weight andcontribution of all holdings during the quarter. Contribution is the contribution to overall performance over the period. Contributors and detractors exclude cash and securities in the Compositenot held in the Model Portfolio. Quarterly data is not annualized. Please read the disclosures on the last page, which are an integral part of this presentation.
-1.0
-0.5
0.0
0.5
1.0
1.5
INDU FINA RLST COMM UTIL ENER STPL MATS DSCR HLTH INFT CASH
Sector
Effe
ct (%
)Top Five Contributors to Absolute Returns
Tencent
TSMC
EPAM
Lukoil
Yandex
Top Five Detractors from Absolute Returns
Credicorp
AmorePacific
CBD
East African Breweries
Walmart de México
Effe
ct (%
)
Region
Total Effect: -0.9
Selection Effect: 0.8
Allocation Effect: -1.7
Total Effect: -0.9
Selection Effect: -0.2
Allocation Effect: -0.7
-1.0
-0.5
0.0
0.5
1.0
1.5
CHINA +HK
RUSSIA DEV MKTLISTED¹
BRAZIL FRONTIERMKTS²
MEXICO TAIWAN SAFRICA SMALLEMS³
SKOREA INDIA CASH
Selection Effect Allocation Effect Total Effect
HARDING LOEVNER 9
China
Taiwan
South Korea
MSCI EM Index
HL EM Composite
India
Small Emerging Markets¹
South Africa
Russia
Mexico
Brazil
Health Care
Comm Services
Cons Discretionary
Info Technology
Cons Staples
MSCI EM Index
Materials
HL EM Composite
Industrials
Utilities
Real Estate
Financials
Energy -38.8
-28.3
-24.3
-23.9
-18.4
-16.9
-14.6
-9.7
-7.2
-1.6
3.6
-45.0 -30.0 -15.0 0.0 15.0 30.0
-25.9
-25.7
-22.3
-18.0
-15.9
-14.6
-13.8
-9.7
-9.0
-0.8
0.2
11.6
25.8
-45.0 -30.0 -15.0 0.0 15.0 30.0
Benchmark Sector/Region ReturnsYear to Date
1Includes the remaining emerging markets, which individually comprise less than 5% of the Index.Source: FactSet; Data as of June 30, 2020. Past performance does not guarantee future results. Please read the disclosures on the last page, which are an integral part of this presentation.
Sector Total Return (%) Region Total Return (%)
HARDING LOEVNER 10
Performance Attribution: Composite vs BenchmarkYear to Date
-3.0
-2.0
-1.0
0.0
1.0
CASH UTIL INDU RLST COMM ENER MATS INFT HLTH STPL DSCR FINA
-3.0
-2.0
-1.0
0.0
1.0
CASH BRAZIL DEV MKTLISTED¹
RUSSIA SKOREA SAFRICA INDIA TAIWAN FRONTIERMKTS²
SMALLEMS³
MEXICO CHINA +HK
¹Emerging markets or frontier markets companies listed in developed markets; ²Includes countries with less-developed markets outside the Index; ³Includes the remaining emerging markets,which individually, comprise less than 5% of the Index. Past performance does not guarantee future results.“Composite”: Emerging Markets Composite. “Benchmark”: MSCI Emerging Markets Index.Sector and Region Attribution and Contributors and Detractors are shown as supplemental information only and complement the fully compliant Emerging Markets Composite GIPSPresentation. The portfolio holdings identified above do not represent all of the securities held in the portfolio. It should not be assumed that investment in the securities identified has beenor will be profitable. The following information is available upon request: (1) information describing the methodology of the contribution data and (2) a list showing the weight andcontribution of all holdings during the quarter. Contribution is the contribution to overall performance over the period. Contributors and detractors exclude cash and securities in the Compositenot held in the Model Portfolio. Data is not annualized. Please read the disclosures on the last page, which are an integral part of this presentation.
Top Five Contributors to Absolute Returns
Tencent
Yandex
EPAM
LG Household & Health Care
ZTO Express
Top Five Detractors from Absolute Returns
HDFC Corp
Banco Bradesco
Sberbank
Bank Rakyat
Copa Holdings
Selection Effect Allocation Effect Total Effect
Effe
ct (%
)Ef
fect
(%)
Total Effect: -4.8
Selection Effect: -5.0
Allocation Effect: 0.2
Total Effect: -4.8
Selection Effect: -4.8
Allocation Effect: 0.0
Sector
Region
HARDING LOEVNER 11
-1.2
-0.6
0.0
0.6
1.2
1.8
2.4
-20
-10
0
10
20
30
40
Cheap Expensive Cash
Con
trib
utio
n to
Exc
ess
Ret
urn
(%)
Abs
olut
e R
etur
n (%
)Port. Total Return Bench. Total Return Total Effect (RHS)
Negative Contribution from Most Expensive StocksExpensive stocks outperformed in 2Q20
FactSet; Data as of June 30, 2020
Returns and Contribution to Excess Returns by Value Rank Decile - 2Q20
HARDING LOEVNER 12
MSCI EM Returns by Valuation and Momentum Deciles2Q20 MSCI EM Index Returns
FactSet; Data as of June 30, 2020
0
10
20
30
40
50
Cheap Expensive
Inde
x R
etur
n (%
)
0
10
20
30
40
50
HighestMomentum
LowestMomentum
Inde
x R
etur
n (%
)
0
10
20
30
40
50
HighestQuality
LowestQuality
Inde
x R
etur
n (%
)
0
10
20
30
40
50
HighestQuality
LowestQuality
Inde
x R
etur
n (%
)
MSCI EM Index Returns by Momentum Decile
MSCI EM Index Returns by VR Decile Quality Stock Performance within Highest Valuation Deciles
Quality Stock Performance within Highest Momentum Deciles
HARDING LOEVNER 13
Current Valuations in Historical ContextAs of June 30, 2020
FactSet; Data as of June 30, 2020
Price/Book Valuation vs Long-Term History
-1.0 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0
Financials
Real Estate
Consumer Staples
Energy
Industrials
Materials
Utilities
Information Technology
Consumer Discretionary
Communication Services
Health Care
MSCI EM Index
P/B 6/30/20 Less P/B 10yr Avg P/B 12/31/19 Less P/B 10yr Avg
HARDING LOEVNER 14
Completed Portfolio Transactions
*Received as spin off from Naspers. The portfolio is actively managed therefore holdings shown may not be current. The portfolio holdings identified above do not represent all of thesecurities held in the portfolio. It should not be assumed that investment in the securities identified has been or will be profitable. To request a complete list of portfolio holdings for the pastyear, contact Harding Loevner. Holdings are shown as supplemental information only and complement the fully compliant Emerging Markets Composite GIPS Presentation. Please read thedisclosures on the last page, which are an integral part of this presentation.
PositionsEstablished
Portfolio Turnover (5 year annualized average): 18.1%
PositionsSold
3Q19 4Q19 1Q20 2Q20
AirTAC
Hankook Tire
Fuyao Glass Industry
HDFC Bank
Lojas Renner
ZTO Express
JD.com
Sasol
SF Express
Naspers
Prosus
Trailing 12 Months
Jiangsu Yanghe Brewery
Prosus*
Aspen Pharmacare
Emaar Properties
Han's Laser
Hong Kong Exchanges
Raia Drogasil
HARDING LOEVNER 15
Company Country Sector Wt (%)
AIA Group Hong Kong Financials 2.7
LG Household & Health Care South Korea Cons Staples 2.7
Lukoil Russia Energy 2.5
Sberbank Russia Financials 2.2
HDFC Corp India Financials 2.1
Geography HL % EM % (Under) / Over
Dev Market Listed¹ 5.8 —
Russia 8.6 3.2
Cash 3.9 —
Mexico 4.0 1.7
Frontier Markets² 2.1 —
Brazil 6.9 5.1
India 7.1 8.0
South Korea 9.7 11.6
South Africa 1.3 3.8
Taiwan 9.2 12.3
Small EMs3 7.9 13.3
China + Hong Kong4 33.5 41.0
Portfolio ExposuresAs of June 30, 2020
1Emerging markets or frontier markets companies listed in developed markets; 2Includes countries with less-developed markets outside the Index; 3Includes the remaining emerging markets,which individually comprise less than 5% of the Index; 4The Harding Loevner Emerging Markets Model portfolio’s end weight in China at June 30, 2020 is 26.7% and Hong Kong is 6.8%. TheBenchmark does not include Hong Kong. Source: Harding Loevner Emerging Markets Model; MSCI Inc. and S&P. Sector and Region end weights, holdings, and active share are shown assupplemental information only and complement the fully compliant Emerging Markets Composite GIPS Presentation. Please read the disclosures on the last page, which are an integral part ofthis presentation.
Sector HL % EM % (Under) / Over
Industrials 9.0 4.7
Cash 3.9 —
Info Technology 20.8 16.9
Financials 22.9 19.1
Cons Staples 9.8 6.5
Energy 5.7 5.9
Utilities 1.4 2.3
Health Care 1.7 4.3
Real Estate 0.0 2.6
Cons Discretionary 14.4 17.4
Comm Services 10.4 13.5
Materials 0.0 6.8
Company Country Sector Wt (%)
Tencent China Comm Services 6.1
Samsung Electronics South Korea Info Technology 5.4
TSMC Taiwan Info Technology 5.4
Alibaba China Cons Discretionary 4.9
EPAM US Info Technology 3.0
Ten Largest Holdings – Total Weight: 37.0%
69% Active Share
(8.0) (4.0) 0.0 4.0 8.0 (8.0) (4.0) 0.0 4.0 8.0
HARDING LOEVNER 16
Relative Quarterly Returns Since 2008Periods of weakness often followed by strong relative performance.
FactSet; Data as of June 30, 2020
-5.0
-4.0
-3.0
-2.0
-1.0
0.0
1.0
2.0
3.0
4.0
5.0
1Q08
3Q08
1Q09
3Q09
1Q10
3Q10
1Q11
3Q11
1Q12
3Q12
1Q13
3Q13
1Q14
3Q14
1Q15
3Q15
1Q16
3Q16
1Q17
3Q17
1Q18
3Q18
1Q19
3Q19
1Q20
EM Composite Performance Relative to Benchmark
HARDING LOEVNER 17
3.3
2.0
1.0
8.0
7.2
8.9
7.8
15.1
16.1
29.5
3.9
1.4
1.7
5.7
9.0
9.8
10.4
14.4
20.8
22.9
0.0 10.0 20.0 30.0 40.0
Cash
Utilities
Health Care
Energy
Industrials
ConsumerStaples
CommServices
ConsDiscretionary
InfoTechnology
Financials
6/30/2020 6/30/2019
Sector (%)
3.3
4.4
2.2
4.5
4.7
8.0
5.7
10.9
8.7
7.0
8.9
31.7
3.9
1.3
2.1
4.0
5.8
6.9
7.1
7.9
8.6
9.2
9.7
33.5
0.0 10.0 20.0 30.0 40.0
Cash
SouthAfrica
FrontierMarkets³
Mexico
Dev MarketListed²
Brazil
India
Small EMs¹
Russia
Taiwan
SouthKorea
China +Hong Kong
6/30/2020 6/30/2019
June 30, 2020 vs June 30, 2019
1Includes the remaining emerging markets, which individually, comprise less than 5% of the Index; 2Emerging markets or frontier markets companies listed in developed markets; 3Includescountries with less-developed markets outside the Index. Sector and Region end weights are shown as supplemental information only and complement the fully compliant Emerging MarketsComposite GIPS Presentation. Please read the disclosures on the last page, which are an integral part of this presentation.
Region (%)
Portfolio Allocation Comparison
Total FM weight (includingDM-listed) = 7.9% at 2Q20
HARDING LOEVNER 18
The information provided in this Presentation should not be considered a recommendation to purchase or sell a particular security. Unless otherwise stated, non-performance based criteria have been used to select the securitieslisted. The portfolio is actively managed therefore securities shown may not be current. It should not be assumed that investment in the securities identified has been or will be profitable. To request a complete list of portfolioholdings for the past year contact Harding Loevner. A complete list of holdings for the Emerging Markets Model at June 30, 2020 is available on request.
Investing in stocks entails the risks of market volatility. The value of all types of stocks may increase or decrease over varying time periods. To the extent the investments depicted herein represent international securities, youshould be aware that there may be additional risks associated with international investing, including foreign economic, political, monetary and/or legal factors, changing currency exchange rates, foreign taxes, and differences infinancial and accounting standards.
Quality & Growth Characteristics, Investment Statistics, Benchmark Returns, Performance Attribution, Portfolio Profile and Portfolio Transactions are shown as supplemental information only and complement the fully compliantEmerging Markets Composite GIPS Presentation, which is available on request.
Profit Margin: relationship of gross profits to net sales. Return on Assets: net income for past 12 months divided by total assets. Return on Equity: the net income divided by total common equity outstanding, expressed as apercent. Debt/Equity Ratio: total long-term debt divided by total shareholder’s equity. Standard Deviation: the statistical measure of the degree to which an individual value in a probability distribution tends to vary from the meanof the distribution. Sales Per Share: the total revenue earned per share over a 12-month period, net of returns, allowances, and discounts. Earnings Per Share: portion of a company’s profit allocated to each outstanding share ofcommon stock. Cash Flow: a measure of the cash generating capability of a company calculated by adding non-cash charges (e.g. depreciation) and interest expense to pretax income. Dividend Per Share: a total dividends pershare paid during the previous fiscal year. Active Share: the proportion of holdings by weight that differ from holdings of the benchmark index. Turnover: calculated by dividing the lesser of Purchases or Sales by Average Capital.
The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets. The Index consists of 26 emerging market countries.The MSCI World Index is a free float-adjusted market capitalization index that is designed to measure global developed market equity performance. The Index consists of 23 developed market countries. You cannot invest directlyin these Indexes.
All performance and data shown are in US dollar terms, unless otherwise noted.
Harding Loevner’s Quality, Growth, and Value rankings are proprietary measures determined using objective data. Quality rankings are based on the stability, trend, and level of profitability, as well as balance sheet strength.Growth rankings are based on historical growth of earnings, sales, and assets, as well as expected changes in earnings and profitability. Value rankings are based on several valuation measures, including price ratios.
The Composite and Attribution returns may show discrepancies due to the different data sources for these returns. Composite performance is preliminary and obtained from Harding Loevner’s accounting system and Attributionreturns are obtained from the FactSet portfolio analysis system. Please note returns from FactSet are not audited for GIPS compliance and are for reference only.
Source (Benchmark Performance, Performance Attribution, Contributors and Detractors): FactSet; Harding Loevner Emerging Markets Composite; MSCI Inc.
Source (Portfolio Profile, Portfolio Transactions, Portfolio Allocation Comparison, Quality & Growth Characteristics [Run date: July 5, 2020, based on the latest available data in FactSet on this date.]): FactSet; Harding LoevnerEmerging Markets Model; MSCI Inc.
Source (Investment Statistics): eVestment Alliance; Harding Loevner Emerging Markets Composite, based on composite returns.
MSCI Inc. and S&P do not make any express or implied warranties or representations and shall have no liability whatsoever with respect to any GICS data contained herein.
FactSet Fundamentals, Copyright 2020 FactSet Research Systems, Inc. All rights reserved.
Disclosures
Appendix
HARDING LOEVNER 20
Relative Return Volatility in Rebounding Markets 2Q20
FactSet; Data as of June 30, 2020. Past performance is not a guarantee of future results.
HL EM v MSCI EM Index – QTD Cumulative Returns
HL EM v MSCI EM Index – Excess QTD Cumulative Returns
-5.0
0.0
5.0
10.0
15.0
20.0
25.0HL EM MSCI EM Index
Cum
ulat
ive
Ret
urn
(%)
-2.5
-2.0
-1.5
-1.0
-0.5
0.0
0.5
1.0
1.5
2.0
2.5
Exce
ss C
umul
ativ
e R
etur
n (%
)
HARDING LOEVNER 21
Composition of Most Expensive Stocks Skewed to Lower Quality in 2Q20
FactSet; Data as of June 30, 2020. VR= Value Ranking. VR score is a weighted average of five different metrics. Most expensive decile of companies based on Harding Loevner valuation calculations.
-0.2
0.0
0.2
0.4
0.6
0.8
1.0
1.2
-0.2 0.0 0.2 0.4 0.6 0.8 1.0 1.2
GR
Sco
re
QR Score-0.2
0.0
0.2
0.4
0.6
0.8
1.0
1.2
-0.2 0.0 0.2 0.4 0.6 0.8 1.0 1.2
GR
Sco
re
QR Score
0.00.51.01.52.02.53.03.54.04.55.0
Wei
ght (
%)
June 30, 2020December 31, 2018
-8.0
-6.0
-4.0
-2.0
0.0
2.0
4.0
6.0
8.0
10.0
Cheap Expensive
Act
ive
Wei
ght (
%)
QG Scores of Large Cap Companies ($10bn+) in the Most Expensive VR Decile in MSCI EM IndexBubble Size Represents Contribution to Index Return
Weight of Lowest Quality Quintile in Most Expensive VR Decile EM Portfolio - Active Weight by VR Decile 2Q20
HARDING LOEVNER 22
Key Components of Underperformance: Banks and Travel/Leisure
Source: FactSet; Data as of March 31, 2020. This information is supplemental information only and complements the fully compliant Emerging Markets Composite GIPS Presentation.
-0.80
-0.60
-0.40
-0.20
0.00
0.20
0.40
0.60
0.80
Performance Contribution by Country within Banks
Selection Effect Allocation Effect Total Effect
-4.00
-3.00
-2.00
-1.00
0.00
1.00
2.00
3.00
4.00
Total
Copa Holdings
Grupo Aeroportuario
del Sureste
Localiza
Sands China
Trip.com
-1.40
-1.20
-1.00
-0.80
-0.60
-0.40
-0.20
0.00
Total Effect of Travel Stock Holdings
HARDING LOEVNER 23
Characteristics of HL EM Bank Holdings
Source: FactSet; Data as of March 31, 2020
0%
10%
20%
30%HL EM Bank Holdings - Tier 1 Capital Ratios
2008 2019
0.0%
1.0%
2.0%
3.0%HL EM Bank Holdings - Return on Assets
2019
HARDING LOEVNER 24
Valuations in 2Q20 Fall from 12 Month Highs down to GFC Levels
Source: FactSet; Data as of June 30, 2020. GFC= Global Financial Crisis.
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
HL EM Banks - Current Valuations compared with GFC Lows (Price-to-Book)
GFC Low P/B Last 12M High 2Q20 Low