Baron Capital has rolled out the Baron Emerging Markets Select ETF (NYSE:BCEM), marking its latest move to tap rising demand for actively managed ETFs. The fund aims for long-term capital appreciation by investing in high-quality growth companies across emerging markets, with a focus on founder-led, entrepreneurial businesses that demonstrate capital efficiency and durable competitive advantages.

The ETF is managed by veteran investor Michael Kass, who brings nearly four decades of global equities experience and has overseen the firm's emerging markets strategy since 2011. According to Co-President Michael Baron, the launch builds on the firm's active ETF expansion and reflects growing investor appetite for research-driven strategies in a more flexible ETF wrapper.

Key features of BCEM:

  • Actively managed portfolio targeting emerging markets growth opportunities
  • Focus on founder-led, capital-efficient companies with strong competitive moats
  • Concentrated approach with fewer holdings and higher conviction positions
  • Excludes less liquid and speculative investments compared to broader strategies
  • Seeks to capitalize on long-term structural trends, including technological and geopolitical shifts

The ETF brings Baron's established emerging markets playbook into a more concentrated format, positioning BCEM to benefit from favorable valuations and secular growth drivers across developing economies.

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