Pictet’s Rise to Top Shows Caution Lurks in Emerging Bond Rush
- Pictet overtakes Stone Harbor as biggest EM mutual fund
- Stone Harbor, which now ranks second, has better returns
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Investors piling into emerging-market debt at the fastest pace on record are more cautious than they look: The mutual fund with the biggest increase in assets is also the most averse to taking risks.
Pictet Asset Management SA’s global emerging-market bond fund swelled by 44 percent to $8.1 billion since the start of the year, overtaking Stone Harbor Investment Partners LP as the world’s biggest actively managed portfolio for the asset class. Geneva-based Pictet’s fund has the lowest risk rating of its 12 biggest peers in developing countries tracked by Morningstar Inc.