UBS AM launches short-duration EMD ETF

TER of 0.42%

UBS Asset Management has launched a short-duration emerging market debt fund, investing in bonds with a duration between one and five years.

With a total expense ratio (TER) of 0.42%, the UBS ETF J.P. Morgan USD EM Diversified Bond 1-5 UCITS ETF will invest in a range of sovereign bonds, quasi-sovereigns and corporate bonds across 60 countries, however country weights are capped at 3% to reduce concentration. Tracking the J.P. Morgan USD Emerging Markets Diversified 3% capped 1-5 Year Bond index, the ETF will invest in both fixed and floating rate securities which have amounts outstanding in excess of $500m. Why investors should not be put off by EM debt anomalies The ETF can only invest in sovereign bonds from EM count...