Emerging Markets Tech: China and India's Resurgence Fueled by AI and E-commerce

Emerging Markets Rebound

• 💡 Emerging markets, specifically China and India, are regaining favor with investors after a period of being largely ignored.
• geopolitics had previously caused these markets to fall out of favor, but a resurgence in investor interest is now evident.

China's Tech Renaissance

• 🇨🇳 China's internet companies are seeing renewed interest due to their attractive valuations and advancements in Artificial Intelligence (AI), particularly with the emergence of DeepSeek.
• 💰 Chinese tech stocks were considered uninvestable by many, leading to significantly cheap valuations that are now attracting investors.
• 📈 China's internet market is described as the most developed globally, with e-commerce accounting for over half of all sales.

India's Growth Potential

• 🇮🇳 India is compared to China's position 15-20 years ago, highlighting its significant growth potential.
• 📱 Unlike China's past stage of development, India benefits from widespread smartphone adoption, with devices available for as low as $12.

Key Holdings and Investment Thesis

• 🎯 The investment thesis centers on technology as the key driver in these emerging markets.
• 📈 Top holdings in China include Alibaba, Tencent, BYU, and PDD, while Latin American holdings feature MercadoLibre, Rappi, and Nubank.
• 🌏 Southeast Asian and Korean holdings include Sea Limited and Coupang, respectively, with Indian companies like MakeMyTrip and Eternal being harder to access for investors.