[Video] – Meet The Manager – T. Rowe Price Emerging Market Corporate

Emerging Markets Corporate Bonds: one of the few fixed income asset class at still reasonable valuation.

The fund invests at least 80% in a diversified portfolio of corporate bonds from emerging markets issuers in hard currencies. The strategy maintains the latitude to invest in non-benchmark sectors with a max. 15% in sovereign, 10% in local debt.

The fund is mainly focused on the BBB to B rated corporates which are typically the less followed names and offer the best opportunities to generate alpha.  Although constantly overexposed to this segment, the fund is a core strategy for an allocation in the EM corporate debt. Thanks to a reasonably diversified portfolio (100 – 150 securities), a sensible over/underweight country and sector allocation and a monitored tracking error.

Backed by the strong credit research platform of T. Rowe Price with a local presence and a disciplined approach to risk the fund is a sensible way to gain exposure to what we think should be a strategic allocation in a client’s portfolio.