A Safer Way to Get High Yields
John Hancock has been increasing its stake in emerging markets bonds, which now account for 25% of assets. Portfolio manager Dan Janis especially likes bonds from emerging Asian countries, including Singapore, Malaysia, and the Philippines. The Asian economies remain healthy as domestic consumption increases. While credit rating agencies have downgraded the U.S. and European countries, many of the Asian economies have been getting stronger. "Indonesia has been upgraded every year for the last three years, and the Philippines is in the process of being upgraded," says Janis.