The U.S.-domiciled BlackRock Asian Dragon will be repurposed as BlackRock Sustainable Emerging Markets Equity effective Oct. 28, 2021. The new mandate will be jointly comanaged by Stephen Andrews and Emily Fletcher, who have already worked together on BGF Emerging Markets Equity Income since 2018. That said, we continue to have reservations around Andrews’ limited portfolio management experience, the broader team’s instability, and the investment process’ efficacy particularly under its new dual objective of beating the benchmark and meeting its ESG objectives. As such, the strategy earns a Morningstar Analyst Rating of Neutral for the fund’s cheapest share classes, including the K share class, while the more expensive ones are rated Negative. Our ratings already reflect alpha expectations for the fund of its new Morningstar Category, which will change to diversified emerging markets equity on Nov. 1, 2021, to reflect the strategy’s new mandate.
Will MCPCX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable MCPCX’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the MCPCX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of MCPCX’s parent organization’s priorities and whether they’re in line with investors’ interests.