The emerging market bond asset class tends to be driven by short-term news flow, which often takes precedence over fundamentals, resulting in irrational investor behavior. This creates mispricing scenarios which can be exploited by active investors who are able to take a contrarian view when markets behave whimsically.
At the heart of our investment philosophy we want to add value by capturing value and event-driven opportunities.
This observation applies to all three segments of the asset class, hard-currency debt, local-currency debt, and corporate bonds.
The implementation of our investment philosophy is tailored to the unique characteristics of each of these segments. In hard-currency debt, the focus is on value-driven inefficiencies. In corporate bonds, we see also plenty of event-driven opportunities we can capture. In local-currency debt, we apply a broader approach that mixes bottom-up elements with top-down considerations, such as governance and structural development of emerging market countries.
Consistently superior risk-adjusted returns versus peer group.
Disciplined and repeatable investment process incorporating both contrarian and value approaches.
Accomplished investment team led by highly experienced portfolio managers.
