An evolving and diverse opportunity set calls for experience

1. Active approach that seeks to capture the full potential of an evolving market
   Our active approach provides access to a wide source of returns, through exposure to some of the best opportunities outside of the index’s universe, capturing multiple markets and helping to mitigate risk.


2. Extensive experience in uncertain times
   Three decades of emerging markets debt investment experience leaves Capital Group well placed to navigate today’s heightened geopolitical risk and market volatility. Benefit from investment team stability, experience through crises and a long-term view.


3. Research-driven philosophy
   With an established bottom-up approach to security selection, the portfolios seek to drive consistent outcomes for investors. Applying the same rigorous analysis across sovereigns and corporates in emerging markets, these diverse portfolios aim to minimise volatility.

Emerging markets debt has broadened and matured significantly over the last few decades. As the asset class has developed, issuance has increased, and liquidity therefore improved.

By investing broadly, with an active approach, we can diversify currency, curve and maturity risk within local currency debt, and separate out dollar duration risk from credit risk within hard currency.

As markets continue to be volatile, your clients may be looking for a strategy that could navigate through market uncertainties. With Capital Group, benefit from:

• A broad, multi-faceted approach able to quickly adapt to an evolving environment
• Our bottom-up investment process, which assesses each investment opportunity on an individual basis
• Investment team stability and experience during periods of heightened geopolitical risk and market volatility

The investment objective of our emerging markets debt funds is to provide, over the long term, a high level of total return, of which current income is a significant component.

What are our top priorities as we build the portfolio?

• Find diversified opportunities among attractively priced markets based on fundamental research
• Seek high real yields, which are rare globally
• Provide diversification across countries, currencies and corporates

Invested capital is at risk; the funds aim to achieve a positive return over the long term although there is no guarantee this will be achieved over that or any time period.

A distinctive investment process
Analysts lead on-the-ground research with in-person engagement and invest in their best ideas to signal convictions.

Taking the long view
We base our investment decisions on a long-term perspective, aligning our goals with the interests of your clients.  Superior, long-term returns are our goal. The investment teams are rewarded for their results, not the level of assets they manage.