Bond investors see value in emerging market corporates

Size matters

Larger EM corporates proving attractive to bond investors

A surge in flows to emerging market sovereign bonds was one of the investment themes of 2010, as investors increasingly turned their attention to improved debt dynamics and growth potential in Asia and Latin America. This stood in marked contrast to the deteriorating creditworthiness of much of the developed world.

The sovereign story has been well covered. And with yields in the emerging market sovereign space already compressed, attention is turning to the largest emerging market corporates, w