Broad Investment Universe
- The opportunity set is bigger than the benchmark
- The strategy only invests in securities that the investment team finds attractive
The strategy seeks income yield and long term capital appreciation by investing in hard and local-currency bonds of corporate and government-related issuers located in emerging market countries.
Broad Investment Universe
Comprehensive Credit Coverage and Country Research
Robust Risk Management
The investment team believes that inefficiencies in emerging market debt markets result from investor segmentation, illiquidity, and the complexity of many emerging market debt securities. Taking ESG considerations into account at every step of the investment process is crucial as a risk management tool and provides the opportunity to add alpha. Broader allocations across countries, currencies and issuers has the potential to earn greater returns at lower levels of absolute risk.
Our investment process is dynamic and is subject to change without notice due to various factors, including but not limited to market and economic conditions.
Credit Analysis
The team uses the research of the Corporate Credit Team, conducting bottom-up company analysis and developing independent, forward-looking views of investment grade and high yield issues. The team employs a sector-focused approach to credit research, benefiting from their collaborative relationship with other investment teams.
Macro Analysis
Analysts work with Franklin Templeton’s sovereign credit analysts and the Emerging Markets Debt team to assess the impact of sovereign credit risk on quasi-sovereign and corporate debt.
Portfolio Construction
The strategy invests only in securities that our research identifies as the most compelling. The goal is to build a portfolio of lowly correlated positions that is diversified by geography, sector, and issuer.
Investment Team
Day-to-day decision making on the strategy is led by Nicholas Hardingham and Robert Nelson, highly experienced portfolio managers. The team draws primarily on the resources of the research team and other parts of Franklin Templeton’s fixed income group, as well as the emerging markets equity platform based around the world.

Portfolio Manager
Industry since 1999

Portfolio Manager
Industry since 2000

Portfolio Manager
Industry since 2004
Read more about our investment approach and management team.
This material is intended to be of general interest only and should not be construed as individual investment advice or a recommendation or solicitation to buy, sell or hold any security or to adopt any investment strategy.All investments involve risks, including possible loss of principal. There is no guarantee that a strategy will meet its objective. Performance may also be affected by currency fluctuations. Reduced liquidity may have a negative impact on the price of the assets. Currency fluctuations may affect the value of overseas investments. Where a strategy invests in emerging markets, the risks can be greater than in developed markets. Where a strategy invests in derivative instruments, this entails specific risks that may increase the risk profile of the strategy. Where a strategy invests in a specific sector or geographical area, the returns may be more volatile than a more diversified strategy.
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