Many readers like emerging bonds but ask which ones and how can I do all this. Here is one really simple answer.
Bond mutual funds provide an easy way for investors to diversify into a spread of bonds. Emerging market bond funds are even more important because choosing the right markets abroad requires even more research and execution expertise. The Jyske Bank Euro Emerging Market fund allows investors to start with as little as 5,000 Euros (about $4,000) and offers a spread of bonds, plus diversification into the Euro.
This approximate geographic spread of bonds of this fund at this time are:
10% Argentina5.6% Brazil2.7% Germany12% Hungary5% Lithuania5% Mexico7.5% Romania9.5% Russia5% Slovakia1.5% South Africa4% Philippines17% Turkey3% Ukraine1% Venezuela
Here are their current comments about this fund.
"Gary We strongly recommend to buy Jyske Invests Euro Emerging Markets Bond Fund. Attached you can find a graph showing the development in this Bond Fund compared to an investment in 3-5 year EMU Government Bonds. You can also find calculations, which shows that an optimized portfolio should contain at least 12% of this Bond Fund.
Next message we look at bonds in Iceland! Until then good global investing!