'Very Good Time' to Get Into Emerging-Market Bonds, Matthews' Kong Says

The video discusses the attractiveness of emerging market bonds, emphasizing the importance of a long-term investment horizon. It explores opportunities in dollar-denominated and convertible bonds, highlighting the potential for high returns if held to maturity. The discussion also covers local currency bonds, focusing on country fundamentals and the challenges they present. The video concludes with strategies for managing volatility in emerging markets, stressing the need for patience and a long-term outlook.

What is a key factor to consider when investing in emerging market bonds?

• Short-term market trends

• Current stock market performance

• Long-term investment horizon

• Immediate liquidity needs

Why might convertible bonds be attractive to investors?

• They offer a fixed interest rate

• They are always above the bond floor

• They provide potential upside for free

• They are less volatile than other bonds

What is a crucial aspect to evaluate when considering local currency bonds?

• The country's tourism industry

• The country's political stability

• The country's stock market performance

• The country's ability to create value

How do countries like Indonesia manage their twin deficits?

• By increasing exports

• By raising interest rates

• By devaluing their currency

• By reducing government spending

What is a common experience for investors in emerging markets?

• Stable market conditions

• Guaranteed short-term profits

• Consistent high returns

• Periods of calm with sudden volatility