Templeton Emerging Markets Bond Fund A MDis HKD

鄧普頓新興市場債券基金 A類 MDis 港元

LU0708994347

Risk Rating: Level 4

iFund risk rating methodology is a qualitative and quantitative assessment of a single fund’s geographic and asset class focus, investment style and any potential risk factors, as measured from one (1) (lowest risk) to six (6) (highest risk). For the funds with risk rating three (3) or four (4), these are mainly aimed at providing income and capital appreciation to investors by investing primarily in balanced portfolio, including high yield bonds and global equities etc. For more details, please refer to the Due Diligence section under the Procedures page.

On Holiday

Dealing Information

Secure Transaction

Derivatives knowledge not required

HKD10,000.00Min. Subscription

1.00%

HKD10,000.00Min. Subscription

AUD / HKD / JPY / EUR / GBP / RMB / USD / NZD

HKD10,000.00Min. Subscription

HKD10,000.00

HKD10,000.00

Daily

14:00

2021-04-01

*Not include dividends (If applicable)

Fund Performances (including dividend, if any)

1 mth
-0.78%
3 mth
-1.19%
6 mth
-0.53%
1 yr
-7.83%
3 yr
-15.37%
5 yr
+6.04%

Analytical Figures (3 years)

Annualized Return
-5.41%
Annualized Volatility
+10.73%
Sharpe Ratio
-0.56

Fund Information

Fund Houses
Franklin Templeton Investments (Asia) Ltd.
Launch Date
2011-12-01
Fund Manager
Michael J. Hasenstab
Calvin Ho
Manager Start Date
2002-06-01
2018-12-31
Geographical Focus
Emerging Markets
Asset Class/ Sector
Fixed Income - Hybrid
Risk Rating
Risk Level 4

iFund risk rating methodology is a qualitative and quantitative assessment of a single fund’s geographic and asset class focus, investment style and any potential risk factors, as measured from one (1) (lowest risk) to six (6) (highest risk). For the funds with risk rating three (3) or four (4), these are mainly aimed at providing income and capital appreciation to investors by investing primarily in balanced portfolio, including high yield bonds and global equities etc. For more details, please refer to the Due Diligence section under the Procedures page.

Fund AUM(As of 2021-02-25)
USD 4,988,999,687.823
Management Fee
1.00%
Latest Dividend
HKD 0.039000 (2021-02-07)

Sector Leaders

    No Funds

Dealing Information

Secure Transaction

Derivatives knowledge not required

HKD10,000.00Min. Subscription

1.00%

HKD10,000.00Min. Subscription

AUD / HKD / JPY / EUR / GBP / RMB / USD / NZD

HKD10,000.00Min. Subscription

HKD10,000.00

HKD10,000.00

Daily

14:00

2021-04-01

Dividend Records

Dividend DateDividend Records (HKD)
2021-02-070.039000
2021-01-100.041000
2020-12-070.037000
2020-11-080.029000
2020-10-070.034000
2020-09-070.032000
2020-08-090.032000
2020-07-070.030000
2020-06-070.032000
2020-05-070.028000
2020-04-070.043000
2020-03-080.046000
2020-02-090.048000
2020-01-080.051000
2019-12-080.045000
2019-11-070.037000
2019-10-070.045000
2019-09-080.061000
2019-08-070.056000
2019-07-070.058000
2019-06-090.061000
2019-05-070.057000
2019-04-070.061000
2019-03-070.056000
2019-02-070.066000
2019-01-080.065000
2018-12-090.071000
2018-11-070.061000
2018-10-070.065000
2018-09-090.069000
2018-08-070.063000
2018-07-080.067000
2018-06-070.064000
2018-05-070.060000
2018-04-080.070000
2018-03-070.060000
2018-02-070.066000
2018-01-080.068000
2017-12-070.066000
2017-11-070.063000
2017-10-080.061000
2017-09-070.067000
2017-08-070.064000
2017-07-090.064000
2017-06-070.067000
2017-05-070.066000
2017-04-090.067000
2017-03-070.060000
2017-02-070.063000
2017-01-080.062000
2016-12-070.059000
2016-11-070.058000
2016-10-090.057000
2016-09-070.058000
2016-08-070.061000
2016-07-070.066000
2016-06-070.059000
2016-05-080.057000
2016-04-070.069000
2016-03-070.074000
2016-02-070.053000
2016-01-100.081000
2015-12-070.038000
2015-11-080.065000
2015-10-070.065000
2015-09-070.070000
2015-08-090.065000
2015-07-070.062000
2015-06-070.062000
2015-05-070.048000
2015-04-080.057000
2015-03-080.054000
2015-02-080.047000
2015-01-080.048000
2014-12-070.048000
2014-11-090.053000
2014-10-070.048000
2014-09-070.045000
2014-08-070.050000
2014-07-070.042000
2014-06-300.042000
2014-06-090.040000
2014-06-080.044000
2014-05-070.053000
2014-04-070.064000
2014-03-090.062000
2014-02-090.047000
2014-01-080.050000
2013-12-080.062000
2013-11-070.053000
2013-10-070.050000
2013-09-080.047000
2013-08-070.048000
2013-07-070.043000
2013-06-090.043000
2013-05-070.046000
2013-04-070.051000
2013-03-070.044000
2013-02-070.050000
2013-01-080.126000
2012-12-090.057000
2012-11-080.053000
2012-10-070.049000
2012-09-090.050000
2012-08-070.047000
2012-07-080.041000
2012-06-070.048000
2012-05-080.051000
2012-04-100.049000
2012-03-070.047000
2012-02-070.037000
2012-01-080.089000

Investment Objective

Templeton Emerging Markets Bond Fund ("Fund") aims to maximise total investment return by achieving an increase in the value of its investments, earning income and realising currency gains over the medium to long term.
The Fund invests principally (that is, at least two-thirds of the Fund's net assets) in:
-debt securities of any quality (including non-investment grade debt securities) issued by governments, government-related entities and corporations located in developing or emerging markets

Nature and Extent of Risks

Investment involves risks. Please refer to the offering document for details including the risk factors.
1. Debt securities risk
The Fund is exposed to the credit/default risk of issuers of the debt securities that the Fund may invest
in. Investment in the Fund is subject to interest rate risk. The debt securities will generally increase in value when interest rates fall and decrease in value when interest rates rise. Credit ratings assigned by rating agencies are subject to limitations and do not guarantee the creditworthiness of the security and/or issuer at all times. The Fund may invest in debt securities on which the issuer is not currently making interest payments (defaulted debt securities). These securities may become illiquid. The Fund’s investment in securities issued or guaranteed by governments may be exposed to political, social and economic risks. In adverse situation, the governmental entity may be unwilling or unable to pay interest and repay principal, or the indebtedness may be restructured. In the event of a default on sovereign debt, the Fund may suffer significant losses. The Fund may invest in higher-yielding securities rated lower than investment grade or unrated. Such securities are generally subject to lower liquidity, higher volatility and greater risk of loss of principal and interest than high-rated debt securities.
2. Market risk
The market values of securities owned by the Fund will tend to go up or down, sometimes rapidly or unpredictably, due to factors affecting individual issuers, particular industries or sectors within securities markets, or because of general market conditions. During a general downturn in the securities markets, multiple asset classes (including different sectors of the same asset class) may decline in value at the same time. Similarly, when markets perform well, there can be no assurance that securities held by the Fund will participate in the advance. Because the securities the Fund holds fluctuate in price in this manner, the Fund’s value may go down as well as up and investors may be adversely affected.
3. Credit risk
The Fund is exposed to the credit/default risk of issuers of the debt securities that the Fund may invest in. Changes in the financial condition of an issuer, changes in economic and political conditions in general, or changes in economic and political conditions specific to an issuer, are factors that may have an adverse impact on an issuer’s credit quality and security value. Default can occur if an issuer fails to make principal and interest payments when due, which may result in a substantial loss to the Fund. Debt securities are also exposed to the risk of being downgraded, which can adversely affect and/or result in a substantial loss to the Fund.
4. Emerging markets risk
The Fund may invest in, or be exposed to, emerging markets, which may involve increased risks and special considerations not typically associated with investment in more developed markets. The risks of investing in emerging markets, which can adversely affect and/or result in a substantial loss to the Fund, may include: liquidity risks, currency risks/control, political and economic uncertainties, legal and taxation risks, settlement risks, custody risk and the likelihood of a high degree of volatility.
5. Non-regulated markets risk
Some markets that the Fund invests in do not qualify as regulated due to their economic, legal, or regulatory structure, exposing the Fund to greater regulatory risk compared to funds that invest only in regulated market(s). The Fund may be adversely affected as a result.
6. Frontier markets risk
Investments in frontier markets involve risks similar to investments in emerging markets but to a greater extent since frontier markets are even smaller, less developed, and less accessible than other emerging markets. Frontier markets may also experience greater political and economic instability and may have less transparency, less ethical practices, and weaker corporate governance compared to other emerging markets. Such markets are also more likely to have investment and repatriation restrictions, exchange controls and less developed custodial and settlement systems than other emerging markets. As a result, the Fund/investors may be adversely impacted.
7. Foreign currency risk
The Fund will typically invest to a significant degree in securities that are denominated in currencies other than the base currency of the Fund, exposing its investments to changes in foreign exchange rates and the possibility of exchange control regulations. Changes in currency exchange rates may adversely affect the value of the Fund, and also may affect the income earned by the Fund and gains and losses realized by the Fund. The Fund may use instruments such as currency forwards, cross currency forwards and currency futures contracts to hedge currency exposure, which can limit the potential for currency gains, or to take a currency position for investment purposes, which can result in substantial loss to the Fund. To the extent that the Fund seeks to hedge or protect against currency exchange risk, there is no guarantee that hedging or protection will be achieved, and the value of the Fund may be adversely affected. Furthermore, the total return for a share class that is denominated in a different currency (the “alternative currency”) from the base currency of the Fund may be affected, either positively or negatively, by changes in the exchange rate between the Fund’s base currency and the alternative currency.
8. Liquidity risk
The Fund may not be able to easily sell securities due to adverse market conditions or reduced value or creditworthiness of issuers in which it invests. The inability of the Fund to sell securities or positions may also impede the ability of the Fund to meet redemption requests in a timely manner. Certain securities may also be illiquid due to limited trading markets or contractual restrictions on their resale. Reduced liquidity due to these factors may have an adverse impact on the net asset value of the Fund.
9. Valuation risk
Valuation of the Fund’s investments may involve uncertainties and judgmental determinations. Independent pricing information may not always be available. If valuations prove to be incorrect, the investors of the Fund may be adversely affected.
10. Derivative instruments risk
Derivative instruments involve cost, may be volatile, and may involve a leverage effect. A small market movement may give rise to a proportionately larger impact, which may cause substantial loss to the Fund. Other risks include counterparty/credit risk, liquidity risk, valuation risk, volatility risk and over-the-counter transaction risk. In adverse situations, the Fund’s use of derivative instruments may become ineffective and the Fund may suffer significant losses.
11. Credit-linked securities risk
The Fund may invest in credit-linked securities (such as credit default swaps). The Fund may be adversely affected by any delay or cessation in the making of payments by the issuers of the debt obligations underlying the credit-linked security or by the issuer of the credit-linked security. If the market for credit-linked securities becomes illiquid, the Fund could experience difficulty in selling such security at a price the investment manager believes is fair, and the Fund may be adversely impacted.
12. Swap agreements risk
In a standard “swap” transaction, two parties agree to exchange the returns (or differential in rates of return) earned or realized on particular predetermined investments or instruments. Whether the Fund's use of swap agreements will be successful in furthering its investment objective will depend on the ability of the investment manager to correctly predict whether certain types of investments are likely to produce greater returns than other investments. Swap agreements are illiquid and in the event of the default or bankruptcy of a swap agreement counterparty, the Fund may suffer a substantial loss.
13. Securitisation risk
A securitisation is composed of multiple tranches, usually spanning from the equity tranche (highest risk) to the senior tranche (the lowest risk). The performance of each tranche is determined by the performance of the underlying assets or “collateral pool”. The collateral pool can encompass securities with different credit qualities, including high-yield securities and junk bonds, and the credit rating of the tranche is not reflective of the quality of the underlying assets. A securitization may be highly illiquid and prone to substantial price volatility. These instruments may be subject to greater credit, liquidity and interest rate risk compared to other debt securities. They are often exposed to extension and prepayment risks and risks that the payment obligations relating to the underlying assets are not met, which may adversely impact the returns of the securities.
14. Structured notes risk: Structured notes involve a counterparty structuring a note whose value is intended to move in line with the underlying security specified in the note. Unlike financial derivative instruments, cash is transferred from the buyer to the seller of the note. Investment in these instruments may cause a loss if the value of the underlying security decreases. There is also a risk that the note issuer will default. The liquidity of a structured note can be less than that for the underlying security, a
regular bond or debt instrument and this may adversely affect the Fund.
15. Warrants risk: Warrants are more volatile than the securities to which the warrants are linked, exposing the Fund to greater
risk. The Fund may be adversely affected as a result.
16. Counterparty risk: The Fund may be exposed to the credit/default risks of its counterparties and the Fund/investors may be
adversely impacted.
17. China Bond Connect risk
Investing in the China Interbank Bond Market (CIBM) via Bond Connect is subject to regulatory
risks and various risks such as volatility risk, liquidity risk, settlement and counterparty risk as well as other risk factors typically applicable to debt securities. The relevant rules and regulations on investment in the CIBM via Bond Connect are subject to change which may have potential retrospective effect. In the event that the relevant PRC authorities suspend account opening or trading on the CIBM, the Fund’s ability to invest in the CIBM will be adversely affected. In such event, the Fund’s ability to achieve its investment objective will be negatively affected.
18. Chinese market risk: The Fund is subject to the risks of the Chinese market and the value of the Fund may be susceptible to adverse economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory events affecting the Chinese market. The value and performance of the Fund may be adversely affected as a result.
19. Risks associated with investments in debt instruments with loss-absorption features
Debt instruments with loss- absorption features are subject to greater risks when compared to traditional debt instruments as such instruments are typically subject to the risk of being written down or converted to ordinary shares upon the occurrence of a pre-defined trigger events (e.g. when the issue is near or at the point of non-viability or when the issuer’s capital ratio falls to a specified level), which are likely to be outside of the issuer’s control. Such trigger events are complex and difficult to predict and may result in a significant or total reduction in the value of such instruments. In the event of the activation of a trigger, there may be potential price contagion and volatility to the entire asset class. Debt instruments with loss-absorption features may also be exposed to liquidity, valuation and sector concentration risk. The Fund may invest in contingent convertible debt securities, commonly known as CoCos, which are highly complex and are of high risk. Upon the occurrence of the trigger event, CoCos may be converted into shares of the issuer (potentially at a discounted price), or may be subject to the permanent write-down to zero. Coupon payments on CoCos are discretionary and may be cancelled by the issuer at any point, for any reason, and for any length of time. The Fund may also invest in senior non-preferred debts. While these instruments are generally senior to subordinated debts, they may be subject to write-down upon the occurrence of a trigger event and will no longer fall under the creditor ranking hierarchy of the issuer. This may result in total loss of principal invested.
20. Convertible securities risk
The Fund may invest in convertible securities which are a hybrid between debt and equity, permitting holders to convert into shares of the issuer at a specified future date. Convertibles are exposed to equity movement and greater volatility than straight bond investments. Investments in convertible securities are subject to the same interest rate risk, credit risk, liquidity risk and prepayment risk associated with comparable straight bond investments. The value and performance of the Fund may be adversely affected as a result.
21. Distressed securities risk
Investment in securities issued by a company that is in financial difficulty or in default involves significant risk of capital loss. There is no guarantee that any exchange offer or reorganisation will be successfully completed. As a result, investors may get back less than their original investment.
22. Concentration risk
The Fund seeks to maintain a portfolio with holdings in a relatively limited number of issuers. By being less diversified, the Fund may be more volatile than broadly diversified funds, or may be exposed to greater risk since underperformance of one or a few positions will have a greater impact on the Fund’s assets. The Fund may be adversely affected as a result of such greater volatility or risk.
23. Volatility risk
The debt securities in emerging markets may be subject to higher volatility and lower liquidity compared to more developed markets. The prices of securities traded in such markets may be subject to fluctuations. The bid and offer spreads of the price of such securities may be large and the Fund may incur significant trading costs.
24. Class hedging risk
The hedging strategy for a hedged share class may not work as intended, exposing investors of that share class to currency risk. Additionally, investors of a hedged share class may be exposed to fluctuations in the net asset value per share reflecting the gains/losses on and the associated transaction costs of the financial instruments used for hedging, and such investors may be adversely impacted.
25. Dividend policy riskThe Fund’s dividend policy allows for payment of dividends out of capital or effectively out of capital. Where this is done, it amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment. Any distributions involving payment of dividends out of the Fund’s capital or payment of dividends effectively out of the Fund’s capital (as the case may be) may result in an immediate reduction of the net asset value per share.