Each of the 12 countries represented in ALD have investment-grade credit ratings and three – Singapore, Australia and Hong Kong – have AAA ratings. Malaysia and South Korea, two current account surplus countries, combine for 24.1% of ALD’s weight. The fund has seen inflows of $4.8 million since the start of November. [A Surprising Bond ETF Safe-Haven’
The SPDR Barclays Emerging Markets Local Bond ETF (NYSEArca: EBND) allocates 31% of its weight to Asian countries, more than half of which goes to South Korea and Malaysia. Over 51% of that ETF’s holdings are rated Aa or A. EBND has a modified adjusted duration of 4.82 years and a 30-day SEC yield of 5.4%.
Market Vectors Emerging Markets Local Currency Bond ETF
ETF Trends editorial team contributed to this post.