HSBC Global Asset Management has released details of two new emerging market debt funds investing in hard and local currencies.
The Global Emerging Markets Corporate Debt Fund will invest in both investment grade and high-yield debt, dealing with companies that do much of their business in emerging markets. It is benchmarked against the Diversified JP Morgan Corporate Emerging Markets Bond Index.
The GIF Global Emerging Markets Investment Grade Bond will deal in both sovereign and investment grade credit. The fund uses a benchmark of 50 percent JP Morgan GBI Emerging Markets Global Diversified Investment Grade Index and 50 percent JP Morgan EMBI Global Investment Grade Index.
“The opportunities in the emerging markets corporate debt and investment grade debt space are growing, as the world’s centre of gravity continues to shift toward the developing world,” said HSBC chief emerging markets business strategist Peter Marber.
The funds will be based in Luxembourg and managed by head of global emerging markets Guillermo Osses, requiring a minimum investment of $5000 for retail investors and $1 million for institutional share classes.
