PNC Emerging Markets Equity Fund seeks to provide long-term capital appreciation. The Fund aims to achieve this objective by primarily investing in equity securities that are economically tied to emerging market countries throughout the world. A top-down/bottom-up approach results in a diversified portfolio that is flexible to market conditions.
- Stock prices are driven primarily by earnings growth within those emerging markets poised to outperform
We buy companies that:
- Exhibit sustainable and, ideally, accelerating earnings growth
- Possess high quality balance sheets
- Are managed by strong teams that have a clearly defined growth strategy
- Fit within our top-down country allocation framework
International investments are subject to special risks not ordinarily associated with domestic investments, including currency fluctuations, economic and political change, and differing accounting standards that may adversely affect portfolio securities. These risks may be heightened in emerging markets. Because frontier markets are among the smallest, least mature, and least liquid of the emerging markets, investments in frontier markets generally are subject to a greater risk of loss
than investments in developed markets or traditional emerging markets. To the extent that the Fund invests directly in foreign currencies or in securities that trade in, and pay revenues in, foreign currencies, or derivatives that provide exposure to foreign currencies, the Fund will be exposed to the risk that the currencies will decline in value relative to the U.S. dollar, or, in the case of hedging positions, that the U.S. dollar will decline in value relative to the hedged currency. Investments in growth companies can be more sensitive to the company's earnings and more volatile than the stock market in general. The Fund may invest a portion of its assets in derivatives. Derivative instruments include options, futures, and options on futures. A small investment in derivatives could have a potentially large impact on the Fund’s performance. The Fund may be unable to terminate or sell a derivatives position. Derivative counterparties may suffer financial difficulties and may not fulfill their contractual obligations. The Fund’s investments in securities that are or become illiquid may reduce the returns of the Fund because it may be unable to sell the illiquid securities at an advantageous time or price.