Distressed Traders See Bright Spots in Riskiest Emerging Debt
- Eight non-defaulted EMs have bonds at risky, distressed levels
- But of those, only three have external debt maturing in 2023
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Distressed investors are finding ample opportunity in the riskiest emerging debt markets, which have few major bonds maturing in the year ahead.
Only a tiny portion of distressed sovereign bonds from non-defaulted emerging markets are scheduled to mature next year, according to data compiled by Bloomberg. That gives money managers the chance to cash in on the high-yielding notes, with relatively few looming 2023 principal payments to worry about.