BGEG vs CGNG

BGEGDBaillie Gifford Emerging Markets ETF

CGNGACapital Group New Geography Equity ETF

In short

BGEG Edinburgh's patient growth house put its emerging markets strategy into an ETF wrapper in 2026: a concentrated book of high-conviction names, frontier markets in scope, stock-picked rather than copied from the MSCI index.

CGNG Most emerging-markets funds sort companies by headquarters address. CGNG sorts by where the money is made, so a developed-country firm earning heavily in developing economies can qualify. Capital Group runs it actively against the MSCI EM benchmark.

Stated mandate

BGEG The Fund seeks capital appreciation through an actively managed portfolio of common stocks and other equity securities issued by companies in emerging and frontier markets. It normally invests at least 80% of net assets in equity securities of companies from countries represented in the MSCI Emerging Markets Index.

CGNG The fund seeks long-term capital appreciation by investing primarily in common stocks of companies with significant exposure to developing economies or markets, including companies domiciled in developed countries when a significant share of their assets or revenues is attributable to developing countries.

Why people hold it

• BGEG Genuinely active: a 60 to 100 stock portfolio across emerging and frontier markets, with the MSCI Emerging Markets Index as a starting universe rather than a blueprint.bailliegifford.com
• The mandate reaches past the MSCI EM roster into frontier markets, while keeping at least 80% of net assets in companies from index countries.sec.gov
• At 0.79%, the fee sits right at the median of its active emerging markets growth peer group. No brand premium attached.
• The manager is an independent partnership founded in 1908 that has run emerging markets money since 1994, and says it intends low turnover here.bailliegifford.combusinesswire.combailliegifford.com 2

• CGNG The mandate counts companies domiciled in developed countries when a significant share of their assets or revenues comes from developing ones. A revenue map, not a passport check.capitalgroup.com
• Actively managed by Capital Group, holding roughly 220 stocks and measured against the MSCI Emerging Markets Index rather than tracking it.
• Easy to deal in for an active EM strategy: a multi-billion-dollar fund that trades actively, which tends to keep entry and exit costs modest.
• Sits in the top quartile of the active emerging-markets ETFs we grade, one of the stronger overall builds in a crowded field.

Worth knowing

• BGEG A June 2026 launch with modest assets and light trading so far: little history to judge, and spreads can run wider than in the giant index EM funds.
• Roughly 70 growth names means results can diverge sharply from the MSCI EM index in either direction, and the objective is capital appreciation, not income.
• Cheaper active options share the shelf, including FFEM at 0.60% and CGNG at 0.64%, both drawing on longer-running research teams.

• CGNG 0.64% a year is right at the middle for active EM funds, but systematic rivals such as AVEM, JEMA and AVXC charge 0.33%.
• Launched in 2024, so the record is short and has not been tested across a full emerging-markets cycle.
• Because eligibility follows revenue, the country mix can look quite different from a standard EM index, including names based in developed markets.

Full BGEG profile⁠

Full CGNG profile⁠