EMLC: A High-Yield Hedge Against The End Of U.S. Dollar Hegemony

  • Emerging market local currency bonds, such as EMLC, offer US investors a hedge against US dollar volatility. EMLC has a low correlation with most major asset classes, providing portfolio diversification and a positive yield of 6.1%. Emerging markets generally exhibit better deficit spending and debt leverage than the US, accompanied by higher GDP growth.