UCITS Funds

Payden Global Emerging Markets Corporate Bond Fund (PEMLBUD ID)

Base Share Class: USD
  • Overview
  • Portfolio Statistics
  • Performance & Expenses
  • Fund Commentary
Investment Strategy

The Payden Global Emerging Markets Corporate Bond Fund invests in a diversified portfolio of emerging-market corporate bonds. The fund invests in companies that demonstrate positive financial trends which are domiciled in countries exhibiting improving macroeconomic and political fundamentals. Investments are geographically diversified across Latin America, Europe, Asia, Africa and the Middle East. Most of the investments are dollar-denominated, although the fund will take advantage of growing opportunities in select local markets.

Fund Snapshot
Fund Inception Date May 21, 2013
Share Class Inception Date May 22, 2013
Ticker PEMLBUD ID
ISIN Number IE00B7PV8R90
Sedol Number B7PV8R9
Fund Total Net Assets $49.5 million
Benchmark JP Morgan CEMBI Broad Diversified
Currency Share Classes Available CAD, CHF, EUR, GBP, JPY, NOK, SGD, USD
Management Fee 0.82%
Total Expense Ratio 0.88%
Investment Minimum $1,000,000 initial

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.

Portfolio Characteristics
Fund Inception Date May 21, 2013
Share Class Inception Date May 22, 2013
Total Net Assets $49.5 million
Average Duration 4.6 years
Average Maturity 6.3 years
Yield to Maturity (hedged) 5.5%
Duration Breakdown
Years Percent of Portfolio
0-115%
1-323%
3-521%
5-724%
7-1011%
10+6%
Total 100%
Credit Breakdown
Credit Quality Percent of Portfolio
A and Above17%
BBB30%
BB29%
B15%
CCC5%
CC and Below1%
Unrated3%
Total 100%
Sector Breakdown
Sector Percent of Portfolio
Corporates82%
Government/Gov't Related9%
Money Markets3%
Loans2%
Other4%
Total 100%
Country Breakdown
Country Percent of Portfolio
Brazil10.2%
India7.5%
Mexico7.3%
Colombia6.4%
China5.7%
Peru5.6%
United States5.5%
UAE5.4%
Euroland5.0%
Russia4.5%

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.


Total Returns
YTD 1 Year 3 Year 5 Year 10 Year Since Inception
Quarter-end (9/30/2019) 9.46% 7.68% 4.34% 4.38% N/A 3.63%
Month-end (10/31/2019) 10.43% 9.71% 4.65% 4.39% N/A 3.72%
Yearly Returns
2018-3.41%
20179.02%
20169.93%
2015-0.84%
20145.13%
2013-5.01%
Expenses
Management Fee 0.82%
Total Expense Ratio 0.88%

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.

Fund Commentary

MARKET
Emerging-market (EM) fixed income performance was positive in October. Hard currency sovereign and corporate debt posted modestly positive returns, as yields fell relative to US Treasuries. Local currency markets outperformed, aided by currency gains relative to a softer US dollar as well as incremental yield compression. A stronger market backdrop was supported by prospects for an initial US-China trade deal, reduced fears around Brexit and a third consecutive interest rate cut by the US Fed. Among the themes gaining attention in October were civil protests in a number of countries, including Ecuador, Chile, Lebanon and Iraq.
Robust EM performance in 2019 has been aided by the Fed's pivot toward a more accommodative stance, as well as EM growth stabilising despite softer economic data in developed countries. Declining interest rates have been a key driver of returns this year, as central banks loosen monetary policy across developed and emerging economies. Low developed market yields, including large stocks of negative-yielding debt, are supportive for EM assets but must be watched closely as a signal of weak growth. Uncertainty around the US-China relationship, along with populist-leaning policy bases amid social pressures, may contribute to volatility. We are generally constructive on the monetary and fiscal response of EM countries to the evolving external environment.
Sound fundamentals support the resilience of EM debt markets. Economic activity has eased but remains reasonable, and many countries feature growth cycles that are not closely linked to developed markets. Debt levels are sustainable, inflation is low, current account deficits are in check and foreign exchange reserve levels are healthy. In addition, we believe trade-weighted EM exchange rates are broadly undervalued, while EM real yields are positive, in contrast to most developed markets. Against a backdrop of historically low core rates, we believe EM bonds offer attractive income and value versus peer asset classes.

OUTLOOK
Robust emerging market (EM) performance in 2019 has been aided by the Fed’s pivot toward a more accommodative stance, as well as EM growth stabilizing despite softer developed country economic data. Falling interest rates across the world have been a key anchor for returns this year. Easier monetary policy and large stocks of negative-yielding debt, while supportive for EM assets, must be watched closely as a signal of a further growth slowdown. Prolonged uncertainty around the U.S.-China relationship, along with a populist or nationalist-leaning policy bias in many countries, may contribute to volatility. We are generally constructive on the monetary and fiscal response of EM countries to the evolving external environment.
Stable fundamentals support the resilience of EM debt markets. Economic activity has eased but remains reasonable, and many countries feature growth cycles that are not closely linked to developed markets. Debt levels are sustainable, inflation is low, current account deficits are in check and foreign exchange reserve levels are healthy. In addition, we believe trade-weighted EM exchange rates are broadly undervalued, while EM real yields are positive, in contrast to most developed markets. Against a backdrop of historically low core rates, EM bonds may offer attractive yields and have value versus peer asset classes.

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.