Bangkok--28 Sep--Aberdeen Asset
Aberdeen recommends investors to diversify their investments to emerging market debts through favourable environment in terms of good fiscal positions, solid corporate balance sheets in the region. Also favourable is the global accommodative monetary policies which are to support investments in this asset class. Moreover, IMF forecasts emerging market economies will expand 6.8% in this year and 6.4% in 2011.
The valuations of the emerging market debts have been improved sharply since May after the outbreak of the debt crisis in Eurozone. The fundamentals of the emerging markets which are much stronger than those of the developed countries have attracted capital flows to both their equity and debt markets continuously. Although there are downside risks in the economic recovery of the developed markets pending to come in the second half of the year, Aberdeen is still optimistic with opportunities in the emerging market debt universe, arising from the emerging markets' strong fundamentals and the globally accommodative monetary policies, which would benefit the valuations of this asset class in the future.
Mr. Pongtharin Sapayanon, Head of Fixed Income, said “Now even with the downside global growth forecast, the concerns are overstated, particularly about the decelerated growth in China, but the accommodative monetary policies worldwide would be the major supports for the emerging market debts going forward, this would benefit the valuations of both sovereign and corporate bonds of this asset class and in turn generate interesting returns to investors”
Aberdeen Emerging Opportunity Bond Fund (AEOB) has been established since 19th July, 2007. Currently, the master fund is overweight in bonds from Mexico, Indonesia and Brazil which are the countries enjoying impressive growth continuosly. The fund holds 1 year past performance of +13.43% rate of return, as of 27th August 2010, against the +10.43% of the benchmark JPMorgan Emerging Markets Bond Index Global Diversified
Mr.Chaikaseam Vadhanasiripong, Head of Funds Distribution, added “Our AEOB fund is another interesting alternative investment for those who are looking for opportunities for good returns from bond markets which are made possible through Aberdeen's investment process and highly professional team of emerging market debt investment managers. The fund performance is proved by its good long term rate of return in which investors can be easily confident”
Benchmark : JPMorgan Emerging Markets Bond Index Global Diversified (JPM EMBI GD USD) is an index designed by JP Morgan that monitors bond yields in general consists of bonds issued in US dollars by the governments of the countries in the emerging markets and government-related organizations.
Past performance is not a guarantee of future results.
The fund performance document is prepared in accordance with AIMC standards.
Investment in a foreign investment fund (FIF) is subject to currency risk and may get a return lower than the amount initially invested. Investments contain risks. Investor should study prospectus before making a decision to invest.
Moreover, Aberdeen is pleased to announce the reduction of Aberdeen Smart Income RMF’s management fee to 0.40% and the waiver of Switching fee for transactions made between Aberdeen’s RMFs which both will be effective from 1 Oct, 2010 onwards.
About Aberdeen Asset Management Group
Aberdeen Asset Management manages over US$263.70 bn* of third party assets from its offices around the world. At Aberdeen, asset management is our sole business. We operate independently and only manage assets for third parties, allowing us to focus only on their needs, without conflicts of interest. Our clients access our investment expertise across the three asset classes: equities, fixed income and property. We package our skills in the form of segregated and pooled products across borders. We invest worldwide and follow a predominantly long-only approach, based on fundamentally sound investments — we do not chase market fads.
*Data as of end Jul 10
For more info, please contact
Jirachaya Laptavornkiat Tel. 0-2352-3387
Assistant Manager