November 23, 2022

Meeting investors’ needs in Emerging Markets Fixed Income

Over the last four decades, emerging fixed income markets have become a mainstay of many global investment portfolios. These markets present investors and benchmark providers with a unique set of challenges and themes that directly inform index design.

In this paper we profile our capabilities in Emerging Markets (EM) fixed income and demonstrate how our core EM bond index family is built using principles of accessibility, modularity and flexibility, forming a robust basis for ESG or smart overlays. Together with best-in-class bond pricing, market-leading bond analytics and comprehensive reference data, our EM fixed income indices provide a rules-based, transparent method of targeting exposure to an increasingly important segment of the global bond market.

We demonstrate how we continue to meet investor’s needs in this rapidly developing asset class and provide an overview of our recently added zero-plus, frontier and ESG-tilted emerging markets fixed income indices. We also cover:

  •        Emerging Markets indices: what are the key challenges and themes?
  •        Managing country inclusion given the fast-evolving nature of emerging markets
  •        Quality pricing and reference data – why it’s vital in emerging markets
  •        Thoughtful, differentiated approaches to the unique challenges for EM investors
  •        Demand for short-duration EM indices
  •        Sustainability in emerging market bonds