Mirabaud Global Emerging Market Bond Strategy

An unconstrained, 'best ideas' strategy that invests in a combination of hard and local currency emerging market bonds.

Emerging markets (EM) are growing rapidly and we believe are set to drive growth. Within Mirabaud Global Emerging Market Debt, we invest across the entire EM debt sector, which gives us the flexibility to navigate changing marketing conditions.We create balance within the portfolio by blending:

Flexibility — Dynamically investing across sovereign and corporate debt (local and hard currency).
Quality — An emphasis on countries with strong balance sheets and corporates with flexible business models.
Liquidity — For increased flexibility in different market environments.

Our top-down, macro view informs dynamic allocations across the different geographies and sectors, moving between credit and duration risk.

Bottom-up analysis incorporates fundamental, technical and valuation (FTV) factors, along with ESG integration to help us identify strong, sustainable opportunities. We mitigate down markets with an active hedging process.

Portfolio characteristics

UNCONSTRAINED	Flexible ‘go anywhere’ approach that can respond quickly to changing markets in search of the best opportunities.
TOP-DOWN/BOTTOM-UP	Top-down sets regional allocation parameters while bottom-up credit selection allows us to optimise the total return.
RISK CONTROLS	Three pillar approach to risk management.
SFDR ARTICLE 8	Advanced ESG and climate analysis integration means we can filter a wide universe on a best-in-class approach.
SPECIALIST TEAM	Extensive multi-sector emerging market debt expertise Deep understanding of frontier markets and currency management 40+ years’ combined experience

Strategy highlights

EXPERTISE

Our EMD specialists have over 40 years' combined experience, bringing with them a deep understanding of the emerging and frontier market universe, as well as currency management — both of which are key to understanding and navigating this dynamic asset class. They are supported by the wider fixed income team and the SRI team.

BEST IDEAS

Top-down research informs our dynamic allocation across the different geographies and sectors of the EM debt universe. As a small team based in one location, we can respond quickly to changes in the market environment.

RISK MANAGEMENT

EM debt is a complex sub-asset class that is exposed to higher volatility and lower liquidity. For us, maintaining a strong liquidity profile for increased flexibility in different market environments is key. Risk management is therefore an integral part of our process.