Principal AM launches EM debt high income fund

Principal Asset Management has launched the Finisterre Emerging Markets Debt High Income Fund.

With initial capital of $100 million the fund invests in sovereign, local, and corporate bonds and aims to maintain a volatility profile within an annualized range of 3% to 5% with a portfolio consisting of 100 to 150 issuers. It will be managed by Damien Buchet, CIO of Principal Finisterre (pictured), and Christopher Watson, senior portfolio manager.

Buchet said, “In the current environment, investors are increasingly focusing on the sustainability and reliability of income, while volatility persists in interest rates, currencies, and risky assets. Emerging market debt remains one of the few segments offering truly attractive returns, but the dispersion among countries and issuers is widening, making selectivity and research crucial.”

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