Debt Purchases: Bonds and America Merrill

debt purchases: But the fear of anemic returns in developed bond markets drove record purchases of EM bonds in the week ending July 20, a report by Bank of America Merrill Lynch showed late Thursday, according to Market Watch. Inflows to global EM bonds jumped to $4.92 billion this past week from $2.69 billion in the prior week. Enter emerging-market bonds, which are traditionally viewed as a risky proposition for a litany of reasons, including: volatile economic fundamentals for the countries issuing the bonds, geopolitical uncertainty and currency risk. The previous all-time record was set only two weeks ago, with $3.42 billion of EM debt purchases, as the chart below shows. Bank of America Merrill Lynch Caption outside of wrapper for normal article images Investors' heady interest in EM bonds is no coincidence, as they have become an attractive source of income in a post-Brexit world, said Richard Turnill, Black Rock global chief investment strategist, in a note earlier this week. EM-hard stands for emerging-market debt denominated in so-called hard currencies, typically one of the most tradable currencies in the world, like the U.S. dollar DXY, +0.39% the euro EURUSD, -0.4353% the yen USDJPY, +0.29% the British pound GBPUSD, -0.9522% the Swiss franc CHFUSD, -0.1317% and the Canadian dollar USDCAD, +0.3056% EM-local stands for bonds issued in local currencies. (news.financializer.com). As reported in the news.