Citywire Selector - For Professional Investors

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Revealed: the four best groups for EM debt

Revealed: the four best groups for EM debt

Emerging market debt sectors have gathered momentum and are attracting inflows once again. In this current low-yielding environment investors have returned to these regions where good positive yields can still be gained from these debt instruments.

The Bonds – Emerging Markets Hard Currency sector has gathered the most assets and the funds in this space and offer investors the high potential returns from debt issued by emerging countries, while USD denomination mitigates exposure to currency risk.

As the market picks up we take a closer look at four of the strongest investment groups operating in the sector based on our unique analysis, which gives Citywire Group Ratings* to those with consistent long-term outperformance in the sector.

*To see the methodology for Group Ratings, please click here.

Platinum – Edmond de Rothschild AM

Experience: 12 years, four months

Group total AUM: €15.3 billion

Assets in this sector: €0.48 billion

Edmond de Rothschild Asset Management’s top Platinum group rating is underpinned by Jean-Jacques Durand and Romain Bordenave, co-managers of the Edmond de Rothschild Fund - Emerging Bonds fund.

Both managers have run this fund since its launch in January 2016. The duo’s favoured investment sectors at the end of October were external government debt, which accounted for 60.4% of the portfolio, and utilities & energy (11.7%).

Platinum – Danske Fund Management Company

Experience: Four years, four months

Group total AUM: €3.25 billion

Assets in this sector: €0.15 billion

Bent Lystbæk is the manager behind Danske Fund Management Company’s Platinum rating. He currently manages four funds in the sector: the Danske Invest EM Debt HC osuuslaji, EM Debt Hard Currency AC, EM Debt Hard Currency Acc and the Emerging Markets Debt Kasvu funds. Lystbæk currently ranks in first position for his three-year risk-adjusted returns in the sector to the end of October.

Gold – Sydinvest

Experience: 43 years, eight months

Group total AUM: €26.3 billion

Assets in this sector: €1.68 billion

Sydinvest’s Platinum group rating is down to the performance of Jens Erik Boesen, Phillip Blackwood, Rune Juel Hansen and Thomas Brund. This quartet co-manage the Sydinvest Hojrentelande A DKK Akkumulerende KL fund.

Brund, Juel Hansen and Blackwood started managing the strategy in 2007, while Boesen came aboard in 2013. On a three-year risk-adjusted basis, all managers rank within the first quartile for their performance in the sector.

Gold – First State

Experience: 14 years, six months

Group total AUM: €34.5 billion

Assets in this sector: €0.08 billion

The main driver behind First State’s Gold group rating is Helene Williamson, who manages the First State Emerging Markets Bond fund. At the end of October her top issuers in the fund were Argentina Republic Government, accounting for 7.3% of the portfolio and the Republic of Turkey (5.7%).

Williamson has over 14 years’ experience of managing funds in this sector and is currently ranked within the first quartile for her own three-year risk-adjusted returns to the end of October.

This article originally appeared in the December-January edition of Citywire Selector magazine.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.

Related Fund Managers

Helene Williamson
Helene Williamson
97/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 15.16%
Thomas Brund
Thomas Brund
102/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 14.87%
Rune Juel Hansen
Rune Juel Hansen
104/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 14.87%
Phillip Blackwood
Phillip Blackwood
103/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 14.87%
Jens Erik Boesen
Jens Erik Boesen
101/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 14.87%
Bent Lystbæk
Bent Lystbæk
30/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 22.84%
Romain Bordenave
Romain Bordenave
3/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 33.46%
Jean-Jacques Durand
Jean-Jacques Durand
2/167 in Bonds - Emerging Markets Global Hard Currency (Performance over 3 years) Average Total Return: 33.46%
Events
  • Citywire Luxembourg Forum

    Citywire Luxembourg Forum

  • Citywire DACH 2017

    Citywire DACH 2017

  • Citywire Italy 2017

    Citywire Italy 2017

  • Citywire Berlin 2017

    Citywire Berlin 2017

  • Citywire Miami 2017

    Citywire Miami 2017

  • Citywire Professional Buyer

    Citywire Professional Buyer

  • Citywire Madrid 2017

    Citywire Madrid 2017

  • Citywire Switzerland Retreat 2017

    Citywire Switzerland Retreat 2017

  • Citywire Amsterdam 2017

    Citywire Amsterdam 2017

  • Citywire Frankfurt 2017

    Citywire Frankfurt 2017

  • Citywire Alternative Ucits Retreat 2017

    Citywire Alternative Ucits Retreat 2017

  • Citywire Paris 2017

    Citywire Paris 2017

  • Citywire Milan 2017

    Citywire Milan 2017

  • Citywire Deutschland 2017

    Citywire Deutschland 2017

  • Citywire DACH 2017

    Citywire DACH 2017

  • Citywire Italy 2016

    Citywire Italy 2016

  • Citywire Milan 2016

    Citywire Milan 2016

  • Citywire Alt Ucits 2016

    Citywire Alt Ucits 2016