Emerging Markets Prove to Be One of the Year's Worst Performers in Credit

The video discusses the performance of emerging markets credit, which has seen a 4% loss year-to-date, compared to US investment grade credit's 3.75% loss. High yield has been the outperformer with minimal losses. Analysts predict high yield may suffer next year, while emerging markets credit could be a better option. Accessing less liquid markets poses challenges, with EMB ETF being a popular but underperforming choice. Liquidity concerns and risk compensation are key considerations for investors.

What is the outlook for high yield credit next year according to analysts?

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What potential risks are investors considering when looking at emerging markets?

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