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Emerging Markets Debt:

Yerlan Syzdykov

"The asset class may benefit from credit convergence in the long-term whilst having the potential to achieve higher yields in the short-term.

 

We aim to take full advantage by combining it with our bond selection capability."

 

 

Yerlan Syzdykov

Head of Emerging Markets - Bond & High Yield

Real Growth, Real Yield, Real Opportunity?

November 2016

 

Following the U.S. Election result, we believe that the outlook for Emerging Markets remains conditional on a series of external drivers. These include global central bank policy continuity and credibility, the outlook for U.S. monetary and fiscal policy and the health and stability of the European economy (and its associated political infrastructure).  

 

The Trump victory may reflect in greater levels of uncertainty and higher volatility, particularly in places like Mexico. While, on the other hand, Russia could trade slightly better given the improved potential for a removal of sanctions.

 

As we stand today, the combined Emerging Markets balance sheet is stable, though this predicates on the continuity of current rates to some degree. The effect of the strong technical support the asset class has seen in recent months has been to enable weaker issuers to restructure through new issuance. We continue to see solid margins across credit in aggregate, and therefore remain positive on the outlook for selected sovereigns and credits.

Emerging Markets Debt, an Underinvested Story

 

In our view, Emerging Markets are drawing attention for these reasons:

 

  • Appealing growth prospects from long-terms drivers such as:

          - demographics

          - economic diversification

          - governance improvements

 

  • EM yields remain strong ... and well-supported
 

Featured Video

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Market Outlook Q2 2016

Emerging Markets: The Worst May be Over

 

What's in store for Emerging Markets? Mauro Ratto, Head of Emerging Markets, talks about Emerging Market Debt, China's growth perspectives and his thoughts on the outlook for this year.

Record EM fixed income inflows and assets

7th November, 2016

Our Emerging Markets fixed income range reached a record level of AuM this month, as a result of strong performance combined with record net sales in excess of €1.5 billion so far this year.  

What are Key Issues for EM Investing Today?

How demographics, reform and capital are unlocking the next wave of Emerging Markets opportunity

Award Winning Expertise

 

 

For the second year running, Institutional Investor recognized our Emerging Market Debt capabilities. Our sub-fund, Pioneer Funds - Emerging Markets Bond, was honoured with the European Money Management Award in the category ‘Emerging Markets Hard Currency Debt’.