Positive outlook and diversification benefits
Why Emerging Market Debt?
Improving credit quality has led to greater liquidity: many emerging market countries have implemented sound fiscal and monetary policies.
Significant diversification benefits: emerging market debt offers low correlation to developed markets and emerging market equities.
Attractive and diversified yields: Emerging Market Debt offers strong income opportunities.
Currency appreciation: Emerging Market Local Currency Debt offers significant opportunities for currency (and therefore capital) appreciation.
Positive outlook: emerging markets’ long-term growth expectations are supported by solid fundamentals including:
- Positive demographics
- Economic reform
- Improving governance
- Increasing industrialization
- Long history of investing in Emerging Markets - approximately a half of our total AUM is invested in Emerging Markets
- A core belief in first hand fundamental and technical research by our own team of portfolio managers
- Well-resourced, stable and highly experienced team with a robust track record of investing in Emerging Market debt across a number of market cycles
- In-house fundamental top-down and bottom-up credit analysis providing comprehensive coverage of all factors relevant to the asset class
- Little attention paid to consensus as represented by peer group or benchmark. We trust our own research