iPads, man bags and sports cars - GEM consumers and luxury brands

Aspirational consumers with an insatiable appetite for luxury Western brands are growing in numbers throughout emerging markets, where favourable demographics have created a generation of young workers with spending power.

One fund in particular is positioning itself to tap into this rapid growth market – the Dominion CHIC fund, launched in 2007. Dominion’s chief investment officer Arjen Los (pictured) manages the portfolio, which aims to capture the long-term outperformance of quoted luxury goods producers. This growth, according to Dominion, “is being driven by the global mega trend of increasing discretionary incomes, particularly in Brazil, Russia, India and China, among other emerging markets.” Dominion’s CIO has put demographics at the heart of his economic analysis. The way he sees it, we are ...