Baillie Gifford launches EM bond fund

Part of the Baillie Gifford Bond Funds ICVC, the new OEIC sub-fund will invest primarily in local emerging market bonds issued by sovereign, supranational, public sector or corporate issuers. At least 75% will be held in bonds issued by emerging markets borrowers or bonds denominated in emerging markets currencies. Managed by Gordon Brown and Sally Greig, the fund targets a total return in excess of the JPMorgan GBI-EM Global Diversified Index return (before charges and expenses). Initial target gross yield will be in excess of 7% per annum, with any income to be paid quarterly. “It has...