VanEck Emerging Income Opportunities Active ETF
VanEck has launched a new exchange traded fund (ETF) that gives investors access to an actively managed fund of emerging market bonds - the VanEck Emerging Income Opportunities Active ETF (ASX:EBND).
In the fund's product disclosure statement (PDS) VanEck says it aims to provide total investment returns in excess of the benchmark over the medium to long term. The ETF is benchmarked against a blended index consisting of 50 per cent J.P. Morgan Emerging Market Bond Index Global Diversified Hedged AUD and 50 per cent J.P. Morgan Government Bond-Emerging Market Index Global Diversified.
“With Australian and global developed markets’ bond yields extremely low, the higher yields available on emerging market debt provide investors with the potential for higher income. There is a new world order and emerging market bonds are at the forefront of this change," Arian Neiron, VanEck managing director and head of Asia Pacific, said.