Emerging Market Debt Index Breakdown – USD Denominated EMD 100% 80% 60% 40%
Middle East & Africa 12%
Middle East & Africa 15%
Latin America 36%
8%
Europe 16%
6%
Asia 39%
Fixed In ncome
Sovereigns (EMBIG)
EMBIG CEMBI
Average Spread Spread (3/31/14) 3.8% 3.3%
3.2% 3.3%
EMBIG average g monthlyy credit rating, g inverse scale
4% 2%
Corporates (CEMBI)
0% '01
'02
'03
'04
'05
'06
'07
'08
'09
'10
'11
'12
'13
Annual Flows into EMD Mutual Funds & ETFs
Emerging Market Debt Credit Rating
BB-
Index
Europe 33% Asia 19%
BB
12%
Latin America 30%
0%
BB+
Spread to Treasuries of USD-denominated debt, percent
10%
20%
BBB-
Emerging Markets Debt Spreads
Feb 2014: BBBFeb.
Billions USD $30 $25 $20 $15
YTD 2014: -$2.7bn
$10 B+
$5 B B-
39
$0
-$5 '03 '04 '05 '06 '07 '08 '09 '10 '11 '93 '95 '97 '99 '01 '03 '05 '07 '09 '11 '13 Source: J.P. Morgan, MorganMarkets, FactSet, Strategic Insight, J.P. Morgan Asset Management. Spreads measure the credit risk premium over comparable maturity U.S. Treasury bonds. The J.P. Morgan EMBI Global (EMBIG) Index is a USDdenominated external debt index tracking bonds issued by sovereigns and quasi-sovereigns in developing nations. The J.P. Morgan Corporate Emerging Bond Index (CEMBI) is a USD-denominated external debt index tracking bonds issued by corporations in developing nations. Flow data is as of February 2014. Past performance is not indicative of comparable future results. Index breakdown may not equate to 100% due to rounding. Guide to the Markets – U.S. Data are as of 3/31/14.
'12
'13
'14