Fixed Income

BGF Emerging Markets Bond Fund

Overview

Important Information: Capital at Risk. The value of investments and the income from them can fall as well as rise and are not guaranteed. Investors may not get back the amount originally invested.

Changes to interest rates, credit risk and/or issuer defaults will have a significant impact on the performance of fixed income securities. Noninvestment grade fixed income securities can be more sensitive to changes in these risks than higher rated fixed income securities. Potential or actual credit rating downgrades may increase the level of risk. Emerging markets are generally more sensitive to economic and political conditions than developed markets. Other factors include greater 'Liquidity Risk', restrictions on investment or transfer of assets, failed/delayed delivery of securities or payments to the Fund and sustainability-related risks. Currency Risk: The Fund invests in other currencies. Changes in exchange rates will therefore affect the value of the investment. Derivatives may be highly sensitive to changes in the value of the asset on which they are based and can increase the size of losses and gains, resulting in greater fluctuations in the value of the Fund. The impact to the Fund can be greater where derivatives are used in an extensive or complex way.

All currency hedged share classes of this fund use derivatives to hedge currency risk. The use of derivatives for a share class could pose a potential risk of contagion (also known as spill-over) to other share classes in the fund. The fund’s management company will ensure appropriate procedures are in place to minimise contagion risk to other share class. Using the drop down box directly below the name of the fund, you can view a list of all share classes in the fund – currency hedged share classes are indicated by the word “Hedged” in the name of the share class. In addition, a full list of all currency hedged share classes is available on request from the fund’s management company

To the extent the Fund undertakes securities lending to reduce costs, the Fund will receive 62.5% of the associated revenue generated and the remaining 37.5% will be received by BlackRock as the securities lending agent. As securities lending revenue sharing does not increase the costs of running the Fund, this has been excluded from the ongoing charges.

Loading

Performance

Performance

Chart

Performance chart data not available for display.
View full chart

Distributions

Ex-Date Total Distribution
View full table

This chart shows the fund's performance as the percentage loss or gain per year over the last 8 years.

  2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Total Return (%) 3.8 19.5 13.7 -3.2 16.9 8.9 1.2 -14.6
Constraint Benchmark 1 (%) 1.2 10.2 10.3 -4.3 15.0 5.3 -1.8 -17.8

Performance is shown after deduction of ongoing charges. Any entry and exit charges are excluded from the calculation.

  1y 3y 5y 10y Incept.
9.84 -0.40 3.40 - 5.55
Constraint Benchmark 1 (%) 5.77 -4.32 0.47 - 1.91
  YTD 1m 3m 6m 1y 3y 5y 10y Incept.
7.20 -0.69 6.15 5.70 9.84 -1.19 18.22 - 62.01
Constraint Benchmark 1 (%) 4.48 -1.50 2.62 3.56 5.77 -12.40 2.39 - 18.40
  From
30.Jun.2018
To
30.Jun.2019
From
30.Jun.2019
To
30.Jun.2020
From
30.Jun.2020
To
30.Jun.2021
From
30.Jun.2021
To
30.Jun.2022
From
30.Jun.2022
To
30.Jun.2023
Total Return (%)

as of 30-Jun-2023

14.31 -0.70 15.40 -18.67 9.11
Constraint Benchmark 1 (%)

as of 30-Jun-2023

12.45 0.49 7.53 -21.22 7.39

The figures shown relate to past performance. Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past

Share Class and Benchmark performance displayed in ZAR hedged Share Class Benchmark performance is displayed in USD.

Performance is shown on a Net Asset Value (NAV) basis, with gross income reinvested where applicable. The return of your investment may increase or decrease as a result of currency fluctuations if your investment is made in a currency other than that used in the past performance calculation. Source: Blackrock

Key Facts

Key Facts

Net Assets of Fund as of 02-Oct-2023 USD 940,068,118.18
Share Class launch date 24-Sep-2014
Fund Launch Date 01-Oct-2004
Share Class Currency ZAR
Base Currency USD
Asset Class Fixed Income
Constraint Benchmark 1 J.P. Morgan Emerging Markets Bond Index Global Diversified Index
SFDR Classification Other
Initial Charge 5.00%
Ongoing Charges Figures 1.47%
ISIN LU1109561420
Annual Management Fee 1.25%
Performance Fee 0.00%
Minimum Initial Investment ZAR 5,000.00
Minimum Subsequent Investment ZAR 1,000.00
Distribution Frequency Monthly
Use of Income Distributing
Domicile Luxembourg
Regulatory Structure UCITS
Management Company BlackRock (Luxembourg) S.A.
Morningstar Category Other Bond
Dealing Settlement Trade Date + 3 days
Dealing Frequency Daily, forward pricing basis
Bloomberg Ticker BGEMA8Z
SEDOL BQT3VS6

Portfolio Characteristics

Portfolio Characteristics

Number of Holdings as of 31-Aug-2023 288
12 Month Trailing Dividend Distribution Yield as of 30-Sep-2023 9.23
Standard Deviation (3y) as of 31-Aug-2023 11.37%
3y Beta as of 31-Aug-2023 1.07
Yield to Maturity as of 31-Aug-2023 8.00%
Modified Duration as of 31-Aug-2023 5.80
Weighted Avg YTM as of 31-Aug-2023 8.00%
Effective Duration as of 31-Aug-2023 5.91 yrs
Weighted Avg Maturity as of 31-Aug-2023 9.71 yrs
WAL to Worst as of 31-Aug-2023 9.71 yrs

Sustainability Characteristics

Sustainability Characteristics

Sustainability Characteristics provide investors with specific non-traditional metrics. Alongside other metrics and information, these enable investors to evaluate funds on certain environmental, social and governance characteristics. Sustainability Characteristics do not provide an indication of current or future performance nor do they represent the potential risk and reward profile of a fund. They are provided for transparency and for information purposes only. Sustainability Characteristics should not be considered solely or in isolation, but instead are one type of information that investors may wish to consider when assessing a fund.


The metrics are not indicative of how or whether ESG factors will be integrated into a fund. Unless otherwise stated in fund documentation and included within a fund’s investment objective, the metrics do not change a fund’s investment objective or constrain the fund’s investable universe, and there is no indication that an ESG or Impact focused investment strategy or exclusionary screens will be adopted by a fund. For more information regarding a fund's investment strategy, please see the fund's prospectus.


Review the MSCI methodologies behind Sustainability Characteristics using the links below.

MSCI ESG Fund Rating (AAA-CCC) as of 21-Sep-2023 BB
MSCI ESG % Coverage as of 21-Sep-2023 93.86
MSCI ESG Quality Score (0-10) as of 21-Sep-2023 3.90
MSCI ESG Quality Score - Peer Percentile as of 21-Sep-2023 17.10
Fund Lipper Global Classification as of 21-Sep-2023 Bond Emerging Markets Global HC
Funds in Peer Group as of 21-Sep-2023 427
MSCI Weighted Average Carbon Intensity (Tons CO2E/$M SALES) as of 21-Sep-2023 1,032.73
MSCI Weighted Average Carbon Intensity % Coverage as of 21-Sep-2023 14.21
All data is from MSCI ESG Fund Ratings as of 21-Sep-2023, based on holdings as of 30-Apr-2023. As such, the fund’s sustainable characteristics may differ from MSCI ESG Fund Ratings from time to time.

To be included in MSCI ESG Fund Ratings, 65% (or 50% for bond funds and money market funds) of the fund’s gross weight must come from securities with ESG coverage by MSCI ESG Research (certain cash positions and other asset types deemed not relevant for ESG analysis by MSCI are removed prior to calculating a fund’s gross weight; the absolute values of short positions are included but treated as uncovered), the fund’s holdings date must be less than one year old, and the fund must have at least ten securities.

Business Involvement

Business Involvement

Business Involvement metrics can help investors gain a more comprehensive view of specific activities in which a fund may be exposed through its investments.


Business Involvement metrics are not indicative of a fund’s investment objective, and, unless otherwise stated in fund documentation and included within a fund’s investment objective, do not change a fund’s investment objective or constrain the fund’s investable universe, and there is no indication that an ESG or Impact focused investment strategy or exclusionary screens will be adopted by a fund. For more information regarding a fund's investment strategy, please see the fund's prospectus.


Review the MSCI methodology behind the Business Involvement metrics, using links below.

MSCI - Controversial Weapons as of 31-Aug-2023 0.00%
MSCI - UN Global Compact Violators as of 31-Aug-2023 2.91%
MSCI - Nuclear Weapons as of 31-Aug-2023 0.00%
MSCI - Thermal Coal as of 31-Aug-2023 0.02%
MSCI - Civilian Firearms as of 31-Aug-2023 0.00%
MSCI - Oil Sands as of 31-Aug-2023 0.00%
MSCI - Tobacco as of 31-Aug-2023 0.00%

Business Involvement Coverage as of 31-Aug-2023 14.62%
Percentage of Fund not covered as of 31-Aug-2023 85.76%
BlackRock business involvement exposures as shown above for Thermal Coal and Oil Sands are calculated and reported for companies that generate more than 5% of revenue from thermal coal or oil sands as defined by MSCI ESG Research. For the exposure to companies that generate any revenue from thermal coal or oil sands (at a 0% revenue threshold), as defined by MSCI ESG Research, it is as follows: Thermal Coal 0.43% and for Oil Sands 0.05%.

Business Involvement metrics are calculated by BlackRock using data from MSCI ESG Research which provides a profile of each company’s specific business involvement. BlackRock leverages this data to provide a summed up view across holdings and translates it to a fund's market value exposure to the listed Business Involvement areas above.


Business Involvement metrics are designed only to identify companies where MSCI has conducted research and identified as having involvement in the covered activity. As a result, it is possible there is additional involvement in these covered activities where MSCI does not have coverage. This information should not be used to produce comprehensive lists of companies without involvement. Business Involvement metrics are only displayed if at least 1% of the fund’s gross weight includes securities covered by MSCI ESG Research.

ESG Integration

ESG Integration

ESG integration is the practice of incorporating financially material environmental, social and governance (ESG) data or information into the investment decision process with the objective of enhancing risk-adjusted returns of our clients’ portfolios. Unless otherwise stated in Fund documentation or included within the Fund's investment objective, inclusion of this statement does not imply that the Fund has an ESG-aligned investment objective or strategy, but rather describes how ESG data or information is considered as part of the overall investment process.

The Fund manager includes ESG considerations in combination with other information in the research phase of the investment process. This may include relevant third-party insights, as well as internal engagement commentary and input from BlackRock Investment Stewardship on governance issues. The Fund manager conducts regular portfolio reviews with the Risk and Quantitative Analysis group and with the Chief Investment Officers. These reviews include discussion, where appropriate, of the portfolio's exposure to material ESG risks, as well as exposure to sustainability-related business involvements, climate-related metrics, and other factors.

 

Risk Indicator

Risk Indicator

1
2
3
4
5
6
7
Low Risk High Risk
Typically low rewards Typically high rewards

Ratings

Ratings

Morningstar Medalist Rating

Morningstar Medalist Rating - Bronze
Morningstar has awarded the Fund a Bronze medal. (Effective 25-Sep-2019)

Portfolio Managers

Portfolio Managers

Amer Bisat
Managing Director, Head of Emerging Markets Fixed Income

Amer Bisat, PhD., Managing Director, is Head of Emerging Markets Fixed Income and a member of the Fundamental-GFI Executive Committee.

Michel Aubenas
Michel Aubenas
Amer Bisat
Managing Director, Head of Emerging Markets Fixed Income

Amer Bisat, PhD., Managing Director, is Head of Emerging Markets Fixed Income and a member of the Fundamental-GFI Executive Committee.

Holdings

Holdings

as of 31-Aug-2023
Name Weight (%)
BGF EM Corporate Bond Fund X2 USD 4.71
COLOMBIA REPUBLIC OF (GOVERNMENT) 5 06/15/2045 1.07
PERU (REPUBLIC OF) 3 01/15/2034 1.05
QATAR (STATE OF) RegS 4.817 03/14/2049 0.98
BRAZIL FEDERATIVE REPUBLIC OF (GOV 6 10/20/2033 0.96
Name Weight (%)
MVM ENERGETIKA ZRT RegS 7.5 06/09/2028 0.96
DOMINICAN REPUBLIC (GOVERNMENT) RegS 6 02/22/2033 0.94
CHILE (REPUBLIC OF) 3.5 01/31/2034 0.89
PETROLEOS DE VENEZUELA SA RegS 0 05/16/2024 0.86
PETROLEOS DE VENEZUELA SA RegS 0 05/17/2035 0.82
Holdings subject to change

Exposure Breakdowns

Exposure Breakdowns

as of 31-Aug-2023

% of Market Value

Type Fund Benchmark Net
as of 31-Aug-2023

% of Market Value

Type Fund Benchmark Net
as of 31-Aug-2023

% of Market Value

Type Fund Benchmark Net
as of 31-Aug-2023

% of Market Value

Type Fund Benchmark Net
as of 31-Aug-2023

% of Market Value

Type Fund Benchmark Net
Negative weightings may result from specific circumstances (including timing differences between trade and settle dates of securities purchased by the funds) and/or the use of certain financial instruments, including derivatives, which may be used to gain or reduce market exposure and/or risk management. Allocations are subject to change.

Pricing & Exchange

Pricing & Exchange

Investor Class Currency Distribution Frequency NAV NAV Amount Change NAV % Change NAV As Of 52wk High 52wk Low ISIN
Class A8 Hedged ZAR Monthly 67.32 -0.36 -0.53 02-Oct-2023 71.96 61.58 LU1109561420
Class A2 Hedged GBP None 10.00 -0.05 -0.50 02-Oct-2023 10.38 8.64 LU1057296771
Class I2 Hedged GBP - 8.94 -0.05 -0.56 02-Oct-2023 9.28 7.68 LU1806518533
Class E2 EUR None 14.51 0.00 0.00 02-Oct-2023 14.71 13.30 LU0200684180
Class I4 USD Annual 7.65 -0.04 -0.52 02-Oct-2023 8.33 6.81 LU1806518293
Class X2 Hedged EUR None 16.63 -0.09 -0.54 02-Oct-2023 17.28 14.40 LU0343170543
Class I5 Hedged EUR Quarterly 6.66 -0.03 -0.45 02-Oct-2023 7.17 6.11 LU1323999216
Class D2 Hedged EUR None 14.46 -0.07 -0.48 02-Oct-2023 15.04 12.62 LU0827877399
Class AI5 Hedged EUR Quarterly 6.94 -0.04 -0.57 02-Oct-2023 7.47 6.37 LU1960220074
Class D2 EUR None 17.53 0.00 0.00 02-Oct-2023 17.77 15.90 LU0827877043
Class I2 EUR None 15.90 0.01 0.06 02-Oct-2023 16.11 14.40 LU1048586868
Class D3 USD Monthly 7.80 -0.04 -0.51 02-Oct-2023 8.24 6.95 LU0827876821
Class X2 CAD - 28.32 0.23 0.82 02-Oct-2023 28.98 26.00 LU2545636172
Class A8 Hedged AUD Monthly 6.01 -0.03 -0.50 02-Oct-2023 6.41 5.47 LU0871639893
Class D3 EUR Monthly 7.42 0.01 0.13 02-Oct-2023 7.59 7.04 LU0827877126
Class A1 EUR Monthly 7.17 0.00 0.00 02-Oct-2023 7.33 6.78 LU0200683703
Class I2 Hedged EUR None 9.86 -0.06 -0.60 02-Oct-2023 10.26 8.59 LU1057294727
Class A2 EUR None 15.92 0.01 0.06 02-Oct-2023 16.13 14.52 LU0200683885
Class C2 USD None 13.21 -0.07 -0.53 02-Oct-2023 13.73 11.40 LU0200681673
Class A8 Hedged CNH Monthly 74.03 -0.39 -0.52 02-Oct-2023 80.36 69.11 LU1919856051
Class A3 EUR Monthly 7.40 0.00 0.00 02-Oct-2023 7.57 7.02 LU0200684008
Class I4 Hedged GBP Annual 7.41 -0.04 -0.54 02-Oct-2023 8.08 6.69 LU2075910922
Class A1 USD Monthly 7.54 -0.04 -0.53 02-Oct-2023 7.96 6.70 LU0200680436
Class E2 USD None 15.27 -0.08 -0.52 02-Oct-2023 15.86 13.08 LU0200681830
Class E2 Hedged EUR None 8.68 -0.04 -0.46 02-Oct-2023 9.06 7.65 LU1062842882
Class E5 Hedged EUR Quarterly 6.49 -0.04 -0.61 02-Oct-2023 6.98 5.95 LU1062842965
Class A6 Hedged HKD Monthly 45.98 -0.24 -0.52 02-Oct-2023 49.60 42.26 LU0764619960
Class A3 USD Monthly 7.79 -0.04 -0.51 02-Oct-2023 8.22 6.94 LU0200680782
Class X2 USD None 20.74 -0.11 -0.53 02-Oct-2023 21.47 17.46 LU0200682721
Class I2 Hedged CHF None 8.16 -0.04 -0.49 02-Oct-2023 8.56 7.21 LU1618350562
Class I4 Hedged EUR Annual 7.12 -0.04 -0.56 02-Oct-2023 7.79 6.52 LU2075911060
Class D2 USD None 18.45 -0.09 -0.49 02-Oct-2023 19.12 15.64 LU0297941386
Class X5 Hedged EUR Quarterly 6.41 -0.03 -0.47 02-Oct-2023 6.91 5.88 LU1722865000
Class X5 Hedged CHF Quarterly 7.15 -0.04 -0.56 02-Oct-2023 7.81 6.66 LU1904800973
Class A6 USD Monthly 6.31 -0.03 -0.47 02-Oct-2023 6.73 5.72 LU0764617162
Class A4 EUR Annual 10.10 0.01 0.10 02-Oct-2023 10.46 9.60 LU1072326561
Class X2 EUR None 19.72 0.01 0.05 02-Oct-2023 19.97 17.75 LU0988581723
Class A6 Hedged GBP Monthly 6.18 -0.04 -0.64 02-Oct-2023 6.66 5.70 LU1408527916
Class C1 USD Monthly 7.54 -0.04 -0.53 02-Oct-2023 7.96 6.70 LU0200681327
Class A2 Hedged EUR None 13.55 -0.07 -0.51 02-Oct-2023 14.11 11.89 LU0413376566
Class A2 USD None 16.75 -0.09 -0.53 02-Oct-2023 17.38 14.28 LU0200680600
Class A2 CZK None 388.86 1.32 0.34 02-Oct-2023 395.58 346.29 LU1791181735
Class AI2 Hedged EUR - 8.22 -0.04 -0.48 02-Oct-2023 8.56 7.21 LU1960219902
Class I2 USD None 16.73 -0.09 -0.54 02-Oct-2023 17.33 14.16 LU1180455567
Class A6 Hedged CAD Monthly 6.56 -0.03 -0.46 02-Oct-2023 7.04 6.00 LU1408528054
Class A8 Hedged NZD Monthly 6.68 -0.04 -0.60 02-Oct-2023 7.11 6.07 LU1408528138

PRIIPs Performance Scenarios

PRIIPs Performance Scenarios

The EU Packaged Retail and Insurance-Based Products Regulation (PRIIPs) prescribes the calculation methodology, and publication of the outcomes, of four hypothetical performance scenarios regarding how the product may perform under certain conditions and for such to be published on a monthly basis. The figures shown include all the costs of the product itself, but may not include all the costs that you pay to your advisor or distributor. The figures do not take into account your personal tax situation, which may also affect how much you get back. What you will get from this product depends on future market performance. Market developments in the future are uncertain and cannot be accurately predicted. The unfavourable, moderate, and favourable scenarios shown are illustrations using the worst, average, and best performance of the product, which may include input from benchmark(s) / proxy, over the last ten years.
Recommended holding period : 3 years
Example Investment ZAR 150,000
Scenario
If you exit after 1 year
If you exit after 3 years

Minimum

There is no minimum guaranteed return. You could lose some or all of your investment.

Stress

What you might get back after costs
Average return each year
87,530 ZAR
-41.6%
64,450 ZAR
-24.5%

Unfavourable

What you might get back after costs
Average return each year
108,980 ZAR
-27.3%
125,430 ZAR
-5.8%

Moderate

What you might get back after costs
Average return each year
152,600 ZAR
1.7%
181,670 ZAR
6.6%

Favourable

What you might get back after costs
Average return each year
182,880 ZAR
21.9%
201,000 ZAR
10.2%

The stress scenario shows what you might get back in extreme market circumstances.



Literature

Literature