One of the largest advisers to the world's pension schemes and sovereign wealth funds has urged institutional investors ploughing billions into emerging markets to look beyond the obvious large cap stocks towards smaller companies and frontier markets.

Cambridge Associates, a US-based firm advising on over $2.5 trillion in assets, this week published a paper 'The Case for Diversified Emerging Markets Exposure,' in which co-author Eric Winig wrote: "Most emerging market allocations currently consist largely of long-only strategies, overly concentrated in certain regions and countries, with exposure somewhat limited to multinationals like Gazprom and Samsung."