Objective

The Barings Emerging Markets Sovereign Debt Fund is an actively managed emerging markets sovereign hard currency strategy. The fund seeks to provide maximum total return consisting of both income and capital appreciation.

Strategy

The fund aims to achieve its investment objective by investing in a diversified portfolio of hard currency investment grade and high yield sovereign debt issued by EM countries. The portfolio management team combines proprietary quantitative models and fundamental analysis tools to analyze country-by-country economic cycles across a universe of 75 plus countries.

Who Should Invest

The fund is designed for investors seeking a strategy that targets maximum total return, consistent with preservation of capital and prudent investment management, with a focus on investing in a diversified portfolio of EM sovereign hard currency debt.

Risks

The value of investments and the income they provide can fall as well as rise and investors may not get back the amount originally invested. The fund invests in markets where economic and regulatory risk can be significant. The fund may hold assets that are not always readily saleable. The fund may have to lower the selling price, sell other investments or forego another more appealing investment opportunity as a result. The fund may use derivatives for investment purposes. These are complex instruments that carry the risk of causing increased volatility in the value of the fund.