Investment Weekly
Chart of the week – Bonds are back (in emerging markets)
Emerging market (EM) local currency bonds have delivered strong risk-adjusted returns on the back of global disinflation and cheap EM valuations. Many EM bond markets have considerably higher nominal and real yields than the US and some – in particular, India, Mexico and Indonesia – offer attractively high yields with relatively lower FX volatility. But what does the medium term outlook hold?
More from this week:
Market Spotlight
- China ramps up policy action
Lens on…
- Higher for longer - part II
- It’s all-REIT
- Beware of the crowds