Three high-quality, profitable emerging market stocks

Our philosophy at the Guinness Emerging Markets Equity Income fund is based on identifying quality firms, defined as those that have consistently generated returns on capital above their cost of capital. Such companies tend to pay sustainable dividends because of the cash profits they generate. This sets our approach apart in emerging market stocks, which are often characterised by pronounced volatility. We avoid rollercoaster cyclical sectors and focus on businesses with stable, consistent fina