Is the Emerging-Market Bond Selloff Out of Control?

The video discusses global investor perspectives, focusing on US rates and emerging markets. It highlights the importance of active management in emerging markets due to market dispersion and policy impacts. The comparison between ETFs and active managers is explored, emphasizing the need for active strategies in the current market environment. Post-election market changes are analyzed, suggesting a shift towards alpha generation and relative value strategies.

What is a key factor investors need to consider when looking at emerging markets?

• Historical art prices

• Tourism trends

• Local weather conditions

• US rates and policy mix

Why is active management becoming more important in emerging markets?

• Because active managers have more experience

• Due to the need for better selection and active duration management

• Because passive strategies are too expensive

• Due to the decline in global trade

What percentage of managers beat passive products in the hard currency space over the last three years?

• 100%

• 25%

• 75%

• 50%

What is expected to drive returns in emerging market debt going forward?

• Passive index tracking

• Active hedging on duration and relative value analysis

• Investing in real estate

• Focusing on short-term gains

What has been a positive development in the post-election environment for emerging markets?

• Growth in the tech sector

• Increase in tourism

• Positive movement in oil credits

• Rise in local art prices