Local Currency Cash Strategy

Emerging market cash has delivered excellent risk-adjusted returns over the past fourteen years. This is largely due to the high levels of interest rates paid to offset currency volatility.  In fact, the JP Morgan ELMI+ has outperformed US Treasury returns in nine out of thirteen years. We expect this trend to continue and are well placed to capitalise on this with our track record in delivering alpha through excellent top down analysis.

Our expertise is in emerging markets.  We have a long history of researching, analysing and looking for value between currencies for the benefit of our clients’ portfolios.  We perform fundamental analysis to enhance the returns available to investors in emerging market cash, while maintaining the risk-return characteristics of the asset class that make it so attractive.

• We have experience in spotting inefficiencies at a political, economic and market level.
• Our macro views are expressed in our asset allocation, which is reviewed at least monthly.
• Our fixed income and country equity specialists work together to form views.
• We do not take global views but instead aim to find relative value between markets.