In focus
[ SECTOR PROFILE ]
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PERFORMANCE OF INDICES OVER 15YRS
S&P 500 (394.13%)
JPM GBI-EM Global Composite (234.79%)
400%
350%
300%
250%
200%
150%
100%
50%
0%
-50%
Source: FE Analytics
its unique set of opportunities and
risks, hence it is easier to express any
global macroeconomic view.
“Ahead of a potentially volatile second
half of the year for global macro, we
think emerging market debt is an asset
class which has the potential for good
risk-adjusted returns.”
For Hasler, whether the potential
rewards in the asset class outweigh the
risks is a decision for the individual
investor. She notes different parts of
the sector – hard currency government
bonds, local currency government
bonds and corporate bonds – can
perform well at different times.
FE TRUSTNET
“We like the asset
class as it brings good
diversification to our
other fixed interest
exposure and brings an
attractive yield pick-up”
“Investors must decide which parts of
the asset class to buy, as well as which
individual countries are attractive,”
Hasler says. “One way to approach
this is to outsource the asset allocation
decision to the experts.”
trustnet.com