The team running EM debt portfolios at Eaton Vance has taken a unusually bullish stance on the asset class. Across all risk factors – EM FX, EM local rates, EM sovereign credit and EM corporate debt – the team has constructive views. A key reason here is the supportive macro environment for the asset class and the belief that this supportive environment will continue. On a one-year view, EM local-currency-denominated debt is the team’s top pick.
Global exchange-traded products (ETPs) have recorded their strongest month for inflows in 2020 as $71.5bn was added to the market, with fixed income buoying the industry providing $46.7bn of the total, according to iShares.
Our latest Cyclical Outlook highlights the macro trends and market developments that underpin our outlook for 2019: slower growth, but likely no recession.
Stephen Jones says the broader 'outside' world might be fraught with challenges, but companies are prospering and voicing few concerns. However, caution is warranted.
Traditional fixed income assets are failing to deliver the returns many schemes need. Euan MacLaren assesses whether emerging market debt can provide an alternative