UBS Emerging Markets Sovereign Bonds

ETF description

This ETF focuses on investing in sovereign bonds issued by emerging market governments. Sovereign bonds are debt securities issued by national governments to finance various projects or obligations. The fund provides exposure to a range of emerging market countries, offering investors the opportunity to diversify their portfolios with bonds from economies that may offer higher yields compared to developed markets. However, emerging market bonds can come with higher risk due to economic and political uncertainties.

This ETF may appeal to investors looking for income through bond interest payments while seeking exposure to the growth potential of emerging markets. It could be suitable for those who are comfortable with the risks associated with investing in bonds from countries that may experience more volatility compared to more stable, developed markets.

Issuer details

UBS Asset Management is a leading global asset management firm and a subsidiary of UBS Group AG, managing over $1.2 trillion in assets as of June 2024. UBS offers a range of investment products covering various market segments. Founded in 1862, UBS Asset Management has a strong focus on sustainable investing and leverages its global reach with local expertise to provide innovative and client‑focused investment strategies. Notable ETFs in their lineup include the UBS MSCI ACWI SF UCITS ETF and the UBS ETF (IE) MSCI USA Socially Responsible UCITS ETF, demonstrating UBS’s commitment to offering diverse and sustainable investment options to meet the evolving needs of investors.

Index details

The Emerging Markets Sovereign Bonds index offers investors targeted exposure to government debt issued by emerging market countries, encompassing a wide range of regions and currencies. With its focus on higher yields and growth potential, the index provides opportunities for investors to benefit from the economic expansion of developing countries.