CPD | Diversifying portfolios with Emerging Market debt

Asian city

For advisers building diversified portfolios, especially those focused on generating income, Emerging Markets debt deserves consideration.

The asset class has converged steadily toward Developed Market (DM) standards over the past decade, with governments improving fiscal discipline and central banks tightening monetary policy discipline. Rating agencies have responded with more upgrades than downgrades, and real yields now outpace inflation across much of the asset class, a feature increasingly hard to find elsewhere in fixed income.

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