The JPMorgan Emerging Market Bond Index (EMBI) are a set of three
bond indices to track
bonds in emerging markets operated by
J P Morgan. The indices are the ''Emerging Markets Bond Index Plus'', the ''Emerging Markets Bond Index Global'' and the ''Emerging Markets Bond Global Diversified Index''.
Emerging Markets Bond Index Plus
The Emerging Markets Bond Index Plus (EMBI+) tracks total returns for traded external debt instruments (external meaning foreign currency denominated fixed income) in the emerging markets. The regular EMBI index covers U.S.dollar-denominated
Brady bonds
Brady bonds are dollar-denominated bonds, issued mostly by Latin American countries in the late 1980s. The bonds were named after U.S. Treasury Secretary Nicholas Brady, who proposed a novel debt-reduction agreement for developing countries.
...
, loans and Eurobonds. The EMBI+ expands upon J.P.Morgan's original Emerging Markets Bond Index (EMBI), which was introduced in 1992 and covered only
Brady bonds
Brady bonds are dollar-denominated bonds, issued mostly by Latin American countries in the late 1980s. The bonds were named after U.S. Treasury Secretary Nicholas Brady, who proposed a novel debt-reduction agreement for developing countries.
...
. An external debt version, the EMBI+ is the JPMorgan EMBI Global Index
In addition to serving as a benchmark, the EMBI+ provides investors with a definition of the market for emerging markets external-currency debt, a list of the instruments traded, and a compilation of their terms.
The index comprises a set of broker-traded debt instruments widely followed and quoted by several market makers. Instruments in the EMBI+ must have a minimum face value outstanding of $500 million and must meet strict criteria for secondary market trading liquidity.
Emerging Markets Bond Global Index
The J.P.Morgan Emerging Markets Bond Index Global ("EMBI Global") tracks total returns for traded external debt instruments in the emerging markets, and is an expanded version of the JPMorgan EMBI+. As with the EMBI+, the EMBI Global includes U.S.dollar-denominated
Brady bonds
Brady bonds are dollar-denominated bonds, issued mostly by Latin American countries in the late 1980s. The bonds were named after U.S. Treasury Secretary Nicholas Brady, who proposed a novel debt-reduction agreement for developing countries.
...
, loans, and Eurobonds with an outstanding face value of at least $500 million. It covers more of the eligible instruments than the EMBI+ by relaxing somewhat the strict EMBI+ limits on secondary market trading liquidity.
Emerging Markets Bond Global Diversified Index
The EMBI Global Diversified limits the weights of those index countries with larger debt stocks by only including a specified portion of these countries eligible current face amounts of debt outstanding.
See also
*
JPMorgan GBI-EM Index
*
Emerging market debt
Emerging market debt (EMD) is a term used to encompass bonds issued by Less Developed Countries. It does not include borrowing from government, supranational organizations such as the IMF or private sources, though loans that are securitized and i ...
*
Bond market index
A bond index or bond market index is a method of measuring the investment performance and characteristics of the bond market. There are numerous indices of differing construction that are designed to measure the aggregate bond market and its vari ...
References
{{DEFAULTSORT:Jpmorgan Embi
Bond market indices
Bonds (finance)
JPMorgan Chase