Emerging market (EM) debt has high liquidity, with the tradable dollar-denominated market worth more than $220bn.
As well as a growing euro-denominated bond market and increasingly accessible local markets, EM debt has low correlation with other asset classes. Country-cross correlations have fallen recently lowering contagion risk.
There is a developing derivatives market and a rapidly broadening investor base, deepening the market and introducing exploitable, competing investor interests. Thr
The week on Risk.net, October 6-12, 2017Receive this by email
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