Investec's Harling: The big rotation from LatAm to Asia in emerging market corporate debt

Half of new issuance this year will come from Asia

Investec Asset Management's Victoria Harling, manager of the $1.2bn Emerging Market Corporate Debt (EMCD) fund, is preparing to rotate from a five-year overweight in Latin America in favour of a higher Asia allocation,where the fund has been underweight since inception.

Harling, who manages the fund with Peter Eerdmans and the emerging market fixed income team, said the fund has had very little exposure to Asia since the strategy launched in 2011, but as half of the new issuance scheduled for this year is expected to come from the region she believes it is time to start allocating there. She said: "With Asia in mind, it is fascinating how much it is growing, particularly in China. We are starting to see new companies as debut issuers emerge and it is very much dominated by China.  "They are very diverse, not just real estate, and there are some reall...