Dubai debt crisis a 'reality check' - managers

Fund managers have sought to downplay the potential fallout from the Dubai debt crisis on both their holdings and the global economic recovery.

Aberdeen Asset Management's Brett Diment says the debt standstill of the $3.52bn Nakheel sukuk had not impacted his portfolio. The manager of the £205m Emerging Markets Bond fund says none of his debt portfolio held the bonds. However, he says: "We do have indirect exposure to the region via some of our holdings that have investments or operations there. Many global financial institutions have exposure to debt issued by Dubai state-owned entities. "Most pertinent for us is Standard Chartered Bank (which is also held across our Asia Pacific, Pan-European, Global and UK portfolios) h...