Fundamentals in the emerging economies continue to strengthen with increased expected growth, stabilizing commodities market and narrowing deficits.
Consequently, investors may still find value and generate attractive yields through emerging market debt, even with the pending Federal Open Market Committee meeting and increased likelihood of a rate hike sometime this year.
SEE MORE: A Solid Emerging Market Bond ETF Pick
Debt-to-GDP ratios in developing economies are far below those seen in the U.S. and the Eurozone.
For more information on the fixed-income market, visit our bond ETFs category.
iShares J.P. Morgan USD Emerging Markets Bond ETF
Tom Lydon’s clients own shares of EMB.