Emerging Markets Bonds

Emerging Markets Bonds

Sign-up to Receive
Our Latest Insights

HYEM
VanEck Vectors Emerging Markets High Yield Bond UCITS ETF

Index Description

The ICE BofAML Diversified High Yield US Emerging Markets Corporate Plus Index is comprised of U.S. dollar-denominated bonds issued by non-sovereign emerging markets issuers that are rated below investment grade and that are issued in the major domestic and Eurobond markets. 

Index Key Points

Underlying Index
ICE BofAML Diversified High Yield US Emerging Markets Corporate Plus Index


Index Characteristics
In order to qualify for inclusion an issuer must have risk exposure to countries other than members of the FX G10, all Western European countries, and territories of the US and Western European countries. The FX-G10 includes all Euro members, the US, Japan, the UK, Canada, Australia, New Zealand, Switzerland, Norway and Sweden.

 

Individual securities of qualifying issuers must be denominated in US dollars, must have a below investment grade rating (based on an average of Moody’s, S&P and Fitch), must have at least one year remaining term to final maturity, at least 18 months to final maturity at point of issuance.

 

Liquidity

Bonds must have at least USD 300 million in outstanding face value and a fixed coupon.

 

Weighting Methodology

The Index constituents are capitalization-weighted based on their current amount outstanding times the market price plus accrued interest, subject to a 10% country of risk cap and a 3% issuer cap. Countries and issuers that exceed the caps are reduced to 10% and 3%, respectively, and the face value of each of their bonds is adjusted on a pro-rata basis.

 

Monthly Rebalance
Rebalance day occurs on the last calendar day of the month, based on information available up to and including the third business day before the last business day of the month. Issues that no longer meet the criteria during the course of the month remain in the Index until the next month-end rebalancing at which point they are removed from the Index.

Index Provider
ICE Data Indices, LLC
For more information about the index please click here

 

Index Information

  • Index Provider

    ICE Data Indices, LLC
  • Index Type

    Total Return
  • Currency

    USD
  • Inception Date

    31 Dec 2004
  • Rebalance Frequency

    Monthly
  • Bloomberg Ticker

    EMLH

Index Fundamentals4
as of 13 Apr 2021

  • Yield to Worst

    5.27%
  • Yield to Maturity

    5.51%
  • Effective Duration (yrs)

    3.17
  • Years to Maturity

    4.35
  • Modified Duration (yrs)

    3.51
  • Coupon

    6.01%
 4See Important Disclosure for definitions.

Index Top 10 Constituents (%) as of 31 Mar 2021

Total Constituents: 823
Constituent Name
Coupon
Maturity Weighting (%)
Teva Pharmaceuticals Ne
3.150
01 Oct 2026
0.73
Teva Pharmaceuticals Ne
2.800
21 Jul 2023
0.66
Southern Gas Corridor
0.000
24 Mar 2026
0.65
Sberbank (Sb Cap Sa)
0.000
29 Oct 2022
0.58
Cemex Sab De Cv
0.000
11 Jul 2031
0.47
First Quantum Minerals L
0.000
15 Oct 2027
0.45
Dp World Salaam
0.000
01 Jan 1900
0.45
First Quantum Minerals L
0.000
01 Apr 2023
0.45
Bbva Bancomer Sa Texas
6.750
30 Sep 2022
0.44
Sasol Financing Usa Llc
0.000
27 Mar 2024
0.44
Top 10 Total (%) 5.32
These are not recommendations to buy or to sell any security. Securities and holdings may vary.

Index Country Weightings (%) as of 31 Mar 2021

  • Country

    Weightings (%)
  • China

    9.9
  • Brazil

    9.2
  • Turkey

    8.6
  • India

    8.3
  • Mexico

    7.4
  • Russia

    4.7
  • South Africa

    4.6
  • Israel

    4.4
  • Argentina

    3.8
  • Hong Kong

    2.7
  • Uae

    2.5
  • Colombia

    2.4
  • Macau

    2.3
  • Indonesia

    2.3
  • Peru

    1.9
  • Oman

    1.6
  • Ukraine

    1.5
  • Chile

    1.4
  • Bahrain

    1.3
  • Azerbaijan

    1.2
  • Kazakhstan

    1.1
  • Netherlands

    1.0
  • Nigeria

    1.0
  • Zambia

    1.0
  • Morocco

    0.9
  • Canada

    0.8
  • Singapore

    0.8
  • Panama

    0.8
  • Trinidad And Tobago

    0.8
  • Saudi Arabia

    0.7
  • Thailand

    0.6
  • United States

    0.5
  • Spain

    0.5
  • Guatemala

    0.5
  • Ghana

    0.5
  • South Korea

    0.4
  • Georgia

    0.4
  • Switzerland

    0.4
  • Jamaica

    0.4
  • Kuwait

    0.4
  • Kuwait

    0.4
  • Uruguay

    0.3
  • United Kingdom

    0.3
  • Dominican Repb.

    0.3
  • Vietnam

    0.3
  • Mongolia

    0.3
  • Uzbekistan

    0.3
  • Costa Rica

    0.3
  • Paraguay

    0.2
  • Belarus

    0.2
  • Mauritius

    0.2
  • El Salvador

    0.2
  • Saint Lucia

    0.2
  • Croatia

    0.2
  • Togo

    0.2
  • Cayman Islands

    0.1
  • Qatar

    0.1
  • Poland

    0.1
  • Cambodia

    0.1
  • Luxembourg

    0.1
  • Barbados

    0.1
  • Philippines

    0.1
  • Armenia

    0.1
  • Portugal

    0.1

Index Sector Weightings (%) as of 31 Mar 2021

  • Sector

    Weightings (%)
  • Financial

    34.3
  • Energy

    18.6
  • Basic Materials

    12.1
  • Consumer, Non-cyclical

    8.2
  • Industrial

    6.4
  • Communications

    6.3
  • Consumer, Cyclical

    5.7
  • Utilities

    5.5
  • Government

    1.8
  • Diversified

    1.0
  • Technology

    0.1

Index Credit Quality (%) as of 31 Mar 2021

Composite % of Net Assets
Non-Investment Grade BB 59.28
B 30.41
CCC 9.93
CC 0.21
Total Non-Investment Grade -- 99.84
Not Rated -- 0.17

Source: Bloomberg. Rating is a proprietary composite of various rating agencies. A bond must be rated by two or more rating agencies to receive a composite rating; otherwise it is classified as Not Rated.

Maturity (%) as of 31 Mar 2021

 Average Maturity: 4.39 Years