Matthews Emerging Markets Sustainable Future Active ETF (EMSF US) – Portfolio Construction Methodology

The investment process underpinning the actively managed Matthews Emerging Markets Sustainable Future Active ETF targets long-term capital growth by owning all-cap equities in emerging markets, including frontier markets, that meet defined environmental, social and governance standards. The strategy is fundamentally driven, unconstrained by formal style or sector limits, and may concentrate meaningfully by country when bottom-up conviction is high; depositary receipts are used for access and liquidity. Eligibility requires alignment with sustainability criteria and sound governance; research emphasizes business quality, durability of cash flows, balance-sheet strength and management integrity. Portfolio construction is discretionary and diversified across industries, with position sizes reflecting conviction, liquidity and risk. Currency exposure is generally unhedged. Rebalancing is continuous as fundamentals, valuations and sustainability assessments evolve; holdings may be reduced or exited when quality deteriorates, valuation discipline is breached, or superior opportunities arise within the investable universe.

To explore EMSF in more depth, visit our ETF analytics platform for institutional-grade insights — including performance and risk metrics, correlations, sensitivities, and factor exposure: https://www.etfstrategy.com/etf/EMSF_US