Fund Description

The fund normally invests at least 80% of net assets (plus any borrowings for investment purposes) in debt securities of emerging market governments or companies, typically holding a mix of sovereign and corporate bonds. Frontier market investments are treated as emerging markets for this policy, using JPMorgan or IMF country classifications and Bloomberg or another unaffiliated provider for security country assignment; qualifying derivatives may also count. It ordinarily invests in at least three countries, but may concentrate in one country, including the U.S., for temporary defensive purposes. Holdings may be U.S. dollar or non-U.S. dollar denominated, may include the lowest-rated or defaulted bonds, and have no overall below-investment-grade limit. There are no maturity restrictions. Selection relies on research of political and economic trends and issuer creditworthiness, and the adviser seeks to favor bonds expected to be upgraded. The fund may use derivatives, including interest rate futures and forward currency contracts, to manage duration and hedge currency risk.