VanEck Vectors Emerging Markets High Yield Bond ETF

Strong investor interest in emerging market debt (EMLC) (HYEM) has continued despite adverse political and economic issues in some countries.

It’s useful to analyze the historical returns of credit rating categories within emerging markets bonds.

Investors are flocking to government bonds (BND) of developed markets, which is causing downward pressure on interest rates.

In her speech at the Jackson Hole Economic Symposium, Fed chair Janet Yellen expressed optimism about another rate hike in the United States.

The Federal Reserve kept its key interest rate unchanged in its policy meeting this week while signaling a possible rate hike in December.

While around 30% of developed market bonds (IHY) are trading at negative yields, emerging market debts (HYEM) are offering attractive returns.

In the wake of disappointing economic indicators over the past month, the Federal Reserve kept the interest rate unchanged in its policy meeting this week.

In the long term, Eastern Europe is largely affected by the United Kingdom’s exit from the European Union because of its strong trade links.

Global emerging markets (“EM”) debt, both hard and local currency, rebounded strongly in June after a significant retracement in May.

Historically, it seems that fallen angels generally perform well across interest rate environments.