Please be advised you are now leaving the Northern Financial Intermediary section and being directed to a site maintained by Northern Trust. Please click OK to continue.
Northern Trust Logo
 
Equity Active

Active M Emerging Markets Equity

 
.
 
 
 
.
TickerNAV AS OF 05/25/18
NMMEX$21.66 $-0.04 Arrow Down Icon
.

Find A Fund

 
Search go

  • Snapshot
  • Performance
  • Portfolio
  • Management
  • Fund Documents
Snapshot
The Active M Emerging Markets Equity Fund may be a good choice for those long-term investors looking to diversify their portfolio by pursuing the growth potential of emerging and frontier market equity securities. The Fund utilizes a "multi-manager" approach whereby the Fund's assets are allocated to one or more sub-advisers, in percentages determined at the discretion of the Fund's investment adviser. Each Sub-Adviser acts independently from the others and utilizes its own distinct investment style in selecting securities while seeking long-term capital appreciation. Any income received is incidental to the Fund's objective.

Fund Objective
Capital Appreciation

Fund Strategy
  • Invest at least 80% of net assets in equity securities of emerging and frontier markets — emerging and frontier markets are defined as markets in MSCI Emerging Markets Index and MSCI Frontier Markets Index.
  • Select complementary investment strategies from a broad universe of investment managers, where manager selection and allocations are determined using a multi-factor based screening and optimization approach, augmented with deep qualitative and fundamental due diligence.
  • Blend managers into a single fund in an effort to provide an attractive combination of risk/return.
  • Design to deliver robust alpha and broad diversification, while maintaining factor neutral biases (such as size, value and momentum) across emerging markets equities.
Investor Profile

If you're a long-term investor looking to diversify your investments by pursuing the growth potential of emerging and frontier market equities, then this Fund may be right for you. It is intended for investors who are aware that foreign markets may involve additional risks, such as social and political instability, reduced market liquidity and currency volatility.

Investing in emerging markets entails extra risk. The securities markets of emerging countries are less liquid, more volatility, and less regulated than the markets of more developed countries. This risk is magnified in frontier countries since they generally have smaller economies or less developed capital markets than traditional emerging markets.

Redemption Fee
2% on shares sold or exchanged within 30 days of purchase
Risk/Reward Potential
”Risk/Reward
Sub-Adviser Allocations

Sub-Advisers and Allocations subject to change at any time.

SUB-ADVISERTARGET ALLOCATION*ROLE IN PORTFOLIO
Axiom International Investors, LLC 40% Opportunistic bottom-up growth strategy seeks to identify high-quality companies exhibiting signs of improvement and/or acceleration in key business drivers.
Westwood Global Investments, LLC 40% Value-oriented, opportunistic investment approach. The portfolio tends to exhibit a less benchmark-oriented approach to value investing.
PanAgora Asset Management, Inc. 20% Highly diversified quantitative value approach that derives alpha through stock selection, utilizing a broad range of factors. Expected to provide consistent risk-adjusted performance as a result of its diversified investment approach.
*Actual allocations may vary.
Overall Morningstar RatingTM
Morningstar Rating

Among 672 diversifed emerging markets funds derived from a weighted average of the fund's 3- and 5-year risk-adjusted returns as of 4/30/18.

Active M Emerging Markets Equity received 3 stars for the 3-year rating among 672 diversifed emerging markets funds, 4 stars for the 5-year rating among 474 funds. The 10-year Morningstar Rating is not available.

The Morningstar RatingTM for funds, or "star rating," is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Past performance is no guarantee of future results.

©2018 Morningstar, Inc. All Rights Reserved. Morningstar and/or its content providers are the proprietors of this information; do not permit its unauthorized copying or distribution; do not warrant it to be accurate, complete or timely; and are not responsible for damages or losses arising from its use.

Important risk information can be found on the Portfolio tab.

 

CUSIP665162483
YTD Total Return-0.28% (as of 05/25/18)
Inception Date11/19/08
Total Net Assets$1,247,460,437 (as of 04/30/18)

Total Returns

Total Returns for Month Ending 04/30/18
 Annualized
    Month   3-Month     YTD  1-Year  3-Year  5-Year  10-Year Since
Incept.
Active M Emerging Markets Equity-1.68%-5.85%2.30%21.35%6.60%4.84%N/A13.19%
MSCI Emerging
Markets Index
-0.44%-6.80%0.97%21.71%6.00%4.74%N/A12.21%
Morningstar Cat. Avg.
Diversified Emerging Mkts
-1.83%-6.54%0.13%18.01%5.42%3.76%N/AN/A

Total Returns

Total Returns for Quarter Ending 03/31/18
 Annualized
    Month   3-Month     YTD  1-Year  3-Year  5-Year  10-Year Since
Incept.
Active M Emerging Markets Equity0.00%4.05%4.05%25.21%9.63%5.40%N/A13.52%
MSCI Emerging
Markets Index
-1.86%1.42%1.42%24.93%8.81%4.99%N/A12.37%
Morningstar Cat. Avg.
Diversified Emerging Mkts
-0.73%2.01%2.01%22.90%8.23%4.45%N/AN/A
Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here.

Northern Trust Investments, Inc. has contractually agreed to reimburse a portion of the operating expenses of the Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses; the compensation paid to each Independent Trustee of the Trust; expenses of third party consultants engaged by the Board of Trustees; membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum; expenses in connection with the negotiation and renewal of the revolving credit facility; and extraordinary expense and interest) to the extent the "Total Annual Fund Operating Expenses" exceed 1.10%. The "Total Annual Fund Operating Expenses After Expense Reimbursement" may be higher than the contractual limitation as a result of the excepted expenses, including but not limited to acquired fund fees and expenses, that are not reimbursed. This contractual limitation may not be terminated before July 31, 2018 without the approval of the Board of Trustees. In the absence of fee waivers, yield, total return, growth since inception and dividends would have been reduced. Total return is based on net change in NAV assuming reinvestment of distributions.

Annual Expense Ratios

 
 Gross Expense RatioNet Expense Ratio
Active M Emerging Markets Equity1.24% 1.11%
Includes contractual expense reimbursements that, if not extended, will end on July 31, 2018. The Fund also includes voluntary expense reimbursements that may change or end at any time.

Calendar Year Returns

 
       2017      2016      2015      2014      2013
Active M Emerging Markets Equity35.41%12.65%-16.06%-4.22%0.44%
MSCI Emerging Markets Index37.28%11.19%-14.92%-2.19%-2.60%
Morningstar Category Avg. Diversified Emerging Mkts34.17%8.47%-13.79%-3.01%-0.14%
Performance quoted represents past performance and does not guarantee future results.
Important risk information can be found on the Portfolio tab.

 

.
Portfolio Composition
   
Top 10 HoldingsFund
Samsung Electronics Co Ltd6.0%
Taiwan Semiconductor Manufacturing Co Ltd4.3%
Tencent Holdings Ltd3.5%
Alibaba Group Holding Ltd Sponsored ADR2.8%
Itau Unibanco Holding SA Sponsored ADR Pfd2.6%
Tata Consultancy Services Ltd2.2%
Vale SA2.1%
America Movil SAB de CV Sponsored ADR Class L1.9%
Wal-Mart de Mexico SAB de CV1.9%
POSCO1.9%
As of 04/30/18
Sector WeightingsFundBenchmark
Information Technology27.8%27.3%
Financials22.6%23.8%
Consumer Discretionary11.5%9.5%
Materials9.5%7.6%
Consumer Staples7.4%6.6%
Energy7.0%7.3%
Industrials4.9%5.3%
Telecommunication Services4.8%4.6%
Real Estate2.2%2.9%
Health Care1.7%2.7%
Utilities0.6%2.4%
   
Top 10 Country WeightingsFundBenchmark
China19.3%29.5%
South Korea16.2%15.6%
Brazil13.4%7.2%
Taiwan11.5%11.2%
South Africa7.4%6.7%
India7.0%8.5%
Mexico5.9%3.0%
Hong Kong2.8%0.6%
Russia2.4%3.3%
Thailand2.2%2.4%
As of 04/30/18
Risk Characteristics*Active M Emerging Markets EquityMSCI Emerging Markets Index
Beta0.951.00
Up Market Capture98.41100.00
Down Market Capture96.17100.00
Information Ratio0.230.00
*Above risk characteristics are based on a 3-year time period
DateHoldings File
As of 3/31/18Insert Icon
As of 12/31/17Insert Icon

Fund Characteristics

Number of Holdings344
Portfolio Turnover59.52% (as of 03/31/17)
Dividend ScheduleAnnually
Dividend Income Last QuarterN/A
Capital Gain Income Last QuarterN/A
Weighted Average Market Cap ($Mil)$93,487
BenchmarkMSCI Emerging Markets Index
Morningstar CategoryDiversified Emerging Markets
Trailing 12-Month Price-to-Earnings Ratio
Fund13.84
Benchmark14.30
Price-to-Book Ratio
Fund1.77
Benchmark1.81
Historical 5-Year Earnings Growth
Fund11.13
Benchmark13.84
Asset Allocation 
Stocks97.0%
Cash3.0%
Equity Risk: Equity securities (stocks) are more volatile and carry more risk than other forms of investments, including investments in high-grade fixed-income securities. The net asset value per share of this Fund will fluctuate as the value of the securities in the portfolio changes.
Emerging and Frontier Markets Risk: Emerging and frontier market investing may be subject to additional economic, political, liquidity and currency risks not associated with more developed countries. Additionally, frontier countries generally have smaller economies or less developed capital markets than traditional emerging markets and, as a result, the risks of investing in emerging market countries are magnified in frontier countries.
MSCI Emerging Markets IndexSM is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets. It is not possible to invest directly in an index.
Multi-Manager Risk is the risk that the sub-advisers' investment styles will not always be complementary, which could affect the performance of the Fund.
.
.
Christopher E. Vella, CFA<sup>&reg;</sup>, CIO

Christopher E. Vella, CFA®, CIO

Portfolio Manager

Northern Active M Emerging Markets Equity Fund (NMMEX)
Northern Active M International Equity Fund (NMIEX)
Northern Engage360TM Fund (NENGX)
Northern Multi-Manager Emerging Markets Debt Opportunity Fund (NMEDX)
Northern Multi-Manager Global Listed Infrastructure Fund (NMFIX)
Northern Multi-Manager Global Real Estate Fund  (NMMGX)
Northern Multi-Manager High Yield Opportunity Fund (NMHYX)

With Northern Trust Since 2004
Began Career in 1993

Christopher E. Vella, CFA®, is Senior Vice President of Northern Trust's Multi-Manager Solutions Practice. He is Chief Investment Officer with responsibility for manager research and portfolio construction processes across Northern Trust's Multi-Manager Solutions Practice. He is responsible for the global manager research platform, consisting of approximately $95B in assets across 200 investment strategies. He manages a team of approximately 25 investment professionals across all traditional asset classes. The team covers all external manager relationships on behalf of Northern Trust's private and institutional clientele.

Prior to joining Northern Trust in 2004, Mr. Vella was a founding member of Goldman Sach's external manager business which consists of institutional and private client assets. While at Goldman, he managed the international and emerging markets equity team. Prior to Goldman Sachs, Mr. Vella spent close to 6 years at SEI Investments working primarily on international equity and emerging markets equity manager research. He has over 20 years of manager research and multi-manager portfolio construction experience.

Mr. Vella received a B.S. magna cum laude in finance with a minor in applied mathematics from Lehigh University and was elected into the Phi Beta Kappa honor society. He is a member of the New York Society of Financial Analysts. He is an active CFA® charterholder.

CommentaryFact SheetHoldingsSummary ProspectusProspectus    Statement of Additional InformationAnnual ReportSemi Annual Report
Download PDFDownload PDFDownload ExcelDownload PDFDownload PDFDownload PDFDownload PDFDownload PDF
View AllView All View AllView AllView AllView AllView All

Not FDIC insured | May lose value | No bank guarantee

View investment term definitions

Please carefully read the prospectus and summary prospectus and consider the investment objectives, risks, charges and expenses of Northern Funds before investing. Call 800-595-9111 to obtain a prospectus and summary prospectus, which contains this and other information about the funds.

©2018 Northern Funds | Northern Funds are distributed by Northern Funds Distributors, LLC, not affiliated with Northern Trust.