Emerging Markets Debt Fund

Share Class :
ISIN: LU0239678807
Marketing Communication
Emerging Markets Debt Fund
Marketing Communication
ISIN: LU0239678807
Share Class :

Emerging Markets Debt Fund

ISIN: LU0239678807

Marketing Communication

Important Information

  • The Fund invests primarily in the debt securities of government and government-related issuers located in emerging countries, and the Fund may also invest in debt securities of entities organised to restructure outstanding debt of such issuers, together with investing in the debt securities of corporate issuers located in or organised under the laws of emerging countries.
  • Investment involves risks. Key risks for this fund include Emerging Market Risk, Credit Risk, Interest Rate Risk, High Yield Securities Risk, Derivatives Risk, Downgrading Risk, Unrated Securities Risk, Risk of Exposure to the Euro and the Eurozone and Risk of Discretionary Distributing Share Class.
  • The Fund may pay distributions out of capital. Payment of dividends out of capital amounts to a return or withdrawal of part of a Shareholder’s original investment or from any capital gains attributable to that original investment. Any distribution involving payment of dividends out of capital may result in an immediate decrease of the NAV per share.
  • There is a risk that you may potentially lose your entire investment in this Fund.
  • The investment decision is yours but you should not invest unless the intermediary who sells it to you has advised you that it is suitable for you and has explained why, including how buying it would be consistent with your investment objectives. You should not make any investment decision solely based on this document. Please read the relevant offering document carefully for further fund details including risk factors.
  • The Fund may use derivatives for investment or efficient portfolio management (including hedging) purposes which may expose to higher counterparty, liquidity and valuation risks. The Fund may suffer losses from its derivatives usage
Investment Objective
To seek to maximise total return.
Investment Approach
Seeks to maximise total return, measured in U.S. dollars, through investment in the debt securities of government and government-related issuers located in emerging countries.
Jan '06
Share Class Launch Date
Share Class Assets
Average yield to maturity
Number of holdings

The value of the investments and the income from them will vary and there can be no assurance that the Fund will achieve its investment objectives.

Pricing & Performance

Past performance is not a reliable indicator of future results. Returns may increase or decrease as a result of currency fluctuations. All performance data is calculated NAV to NAV, net of fees, and does not take account of commissions and costs incurred on the issue and redemption of units. The sources for all performance and Index data is Morgan Stanley Investment Management. Please click here for additional performance disclosures and important information, which should be reviewed carefully.

Blended Benchmark refers to performance of Fund's benchmark since inception - 01 April 1995 to 08 June 2020 – J.P. Morgan Emerging Markets Bond Index Global; 08 June 2020 and beyond – J.P. Morgan Emerging Markets Bond Index Global Diversified.

As of 30-Jun-2024

As of 18-Jul-2024

As of 30-Jun-2024

As of 18-Jul-2024

Performance of 100 USD invested
Performance of 100 USD invested

Average Annual Total Returns As of 30-Jun-2024 As of 30-Jun-2024
1 YR 3 YRS 5 YRS 10 YRS Since Inception
Share Class AX USD (%) 13.31 -2.11 0.06 1.37 3.61
Blended Benchmark (%) 9.23 -2.60 0.22 2.32 4.95
1 YR 3 YRS 5 YRS 10 YRS Since Inception
Share Class AX USD (%) 13.31 -2.11 0.06 1.37 3.61
Blended Benchmark (%) 9.23 -2.60 0.22 2.32 4.95
2023 2022 2021 2020 2019 2018 2017 2016 2015 2014
Share Class AX USD (%) 12.58 -19.18 -2.86 6.06 13.72 -7.59 9.42 9.80 -2.71 2.14
Blended Benchmark (%) 11.09 -17.78 -1.80 6.45 14.42 -4.61 9.32 10.19 1.23 5.53
Average Annual Total Returns
As of 30-Jun-2024
TIMEFRAME Share Class AX USD (%) Blended Benchmark (%)
1 Yr 13.31 9.23
3 Yrs -2.11 -2.60
5 Yrs 0.06 0.22
10 Yrs 1.37 2.32
Since Inception 3.61 4.95
As of 30-Jun-2024
TIMEFRAME Share Class AX USD (%) Blended Benchmark (%)
1 Yr 13.31 9.23
3 Yrs -2.11 -2.60
5 Yrs 0.06 0.22
10 Yrs 1.37 2.32
Since Inception 3.61 4.95
TIMEFRAME Share Class AX USD (%) Blended Benchmark (%)
2023 12.58 11.09
2022 -19.18 -17.78
2021 -2.86 -1.80
2020 6.06 6.45
2019 13.72 14.42
2018 -7.59 -4.61
2017 9.42 9.32
2016 9.80 10.19
2015 -2.71 1.23
2014 2.14 5.53

Risk/Return Statistics

    Share Class AX Index
Excess Return (%) 0.49 --
Alpha (%) 1.30 --
Beta 1.14 1.00
Information ratio 0.17 --
R squared 0.96 1.00
Sharpe ratio -0.42 -0.53
Tracking error (%) 2.83 --
Volatility (Standard deviation) (%) 12.61 10.85

Risk/Return statistics shown are calculated versus the Custom Benchmark when an Index is used in the calculation.

Composition 4 As of 30-Jun-2024
Sovereign 63.67
Corporates 24.75
Quasi-Sovereign 3.02
Cash 8.57
AAA 1.89
AA 0.28
A 1.08
BBB 14.94
BB 26.17
B 31.68
CCC 9.00
CC 5.95
C 0.51
Not Rated 1.83
Cash 6.68
May not sum to 100% due to rounding.

Geography4 As of 30-Jun-2024
Egypt 7.15
Brazil 4.63
Benin 3.29
Angola 3.17
Mexico 3.11
United Arab Emirates 3.05
Ghana 3.04
Colombia 2.96
Kenya 2.72
Other 60.17
Cash 6.68
May not sum to 100% due to rounding.

Holdings As of 30-Jun-2024
Sharjah, Emirate of, 6.500000%, 2032-11-23 1.93
Ethiopia Federal Democratic Republic of, 6.625000%, 2024-12-11 1.78
Kenya (Republic of), 9.750000%, 2031-02-16 1.62
Angola (Republic of), 8.750000%, 2032-04-14 1.43
Benin ( Republic of), 4.950000%, 2035-01-22 1.28
Egypt (the Arab Republic of), 5.625000%, 2030-04-16 1.27
Egypt (the Arab Republic of), 8.875000%, 2050-05-29 1.27
Suriname (Republic of), 7.950000%, 2033-07-15 1.26
Sri Lanka Democratic Socialist (Republic, 6.850000%, 2025-11-03 1.25
Ecuador (Republic of), 0.000000%, 2030-07-31 1.25
Total 14.34

These securities and percentage allocations are only for illustrative purposes and do not constitute, and should not be construed as, investment advice or recommendations with respect to the securities or investments mentioned.

Portfolio Characteristics
Fund Index
Interest Rate Duration (years) 6.54 6.53
Average yield to maturity (%) 7.85 7.01
Number of holdings 244 972

This is a marketing communication. Applications for shares in the Fund should not be made without first consulting the current Prospectus and the Key Facts Statement, which are available in English and in the official language of your local jurisdiction at morganstanleyinvestmentfunds.com. A summary of investor rights is available in the official languages of your local jurisdiction at the same website.

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Please visit our Glossary page for fund related terms and definitions.

Performance data quoted is based on average annualized returns and net of fees.

The source for all performance and index data is Morgan Stanley Investment Management Limited.

Performance data for funds with less than one year's track record is not shown. Performance is calculated net of fees. YTD performance data is not annualised. Performance of other share classes, when offered, may differ. Please consider the investment objectives, risks, charges and expenses of the fund carefully before investing.

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© 2024 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

2 Blended Benchmark refers to performance of Fund's benchmark since inception - 01 April 1995 to 08 June 2020 – J.P. Morgan Emerging Markets Bond Index Global; 08 June 2020 and beyond – J.P. Morgan Emerging Markets Bond Index Global Diversified.

Effective 08 June 2020, the Fund's primary benchmark index has changed to J.P. Morgan Emerging Markets Bond Index Global Diversified.

J.P. Morgan Emerging Markets Bond Index Global Diversified – tracks total returns for traded external debt instruments in the emerging markets, and is an expanded version of the EMBI+. As with the EMBI+, the EMBI Global includes US dollar-denominated Brady bonds, loans, and Eurobonds with an outstanding face value of at least $500 million.

3 Entry Charge is a maximum possible figure. In some cases you might pay less, you can find this out from your financial adviser. Ongoing Charges reflect the payments and expenses incurred during the fund's operation and are deducted from the assets of the fund over the period. It includes fees paid for investment management (Management Fee), trustee/custodian, and administration charges. The Minimum Initial Investment/Minimum Subsequent Investment amounts may be in US Dollars (or the Euro Yen or Sterling equivalent of the US Dollar amount). For more information please see the Charges and Expenses section of the prospectus.

4 May not sum to 100% due to rounding. Quality distribution data for securities is sourced from Fitch, Moody's and S&P. Where the credit ratings for individual securities differ between the three ratings agencies, the 'highest' rating is applied. The rating of credit default swaps is based on the 'highest' rating of the underlying reference bond. 'Cash' includes investments in short term instruments, including investments in Morgan Stanley liquidity funds. Cash & Equivalents are defined as the value of assets that can be converted into cash immediately. These include commercial paper, open FX transactions, Treasury bills and other short-term instruments.  Such instruments are considered cash equivalents because they are deemed liquid and not subject to significant risk of changes in values.

This communication was issued by Morgan Stanley Asia Limited for use in Hong Kong, and its contents have not been reviewed by the Securities & Futures Commission of Hong Kong.

Only A and C share classes of the Fund are authorized by the Securities & Futures Commission of Hong Kong to be offered to the public in Hong Kong. 

WAM is the weighted average maturity of the portfolio. The WAM calculation utilizes the interest-rate reset date, rather than a security's stated final maturity, for variable- and floating- rate securities. By looking to a portfolio's interest rate reset schedule in lieu of final maturity dates, the WAM measure effectively captures a fund's exposure to interest rate movements and the potential price impact resulting from interest rate movements.


WAL is the weighted average life of the portfolio. The WAL calculation utilizes a security's stated final maturity date or, when relevant, the date of the next demand feature when the fund may receive payment of principal and interest (such as a put feature). Accordingly, WAL reflects how a portfolio would react to deteriorating credit (widening spreads) or tightening liquidity conditions.


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