Navigating Rates
“Shop local” as inflows return to the asset class

Another month, another outstanding performance for emerging market debt, particularly local currency. Has it got more to run? We think so. EM local currency bonds have evolved into a diversified asset class with a broad investor base. With investors shelving the “US exceptionalism” narrative, opportunities to diversify portfolios with EM local currency debt have become more appealing, bringing flows back into the asset class.