FEMB Profile
The First Trust Emerging Markets Local Currency Bond ETF (FEMB) is an actively managed exchange-traded fund ("ETF") specializing in broad credit fixed income investments. Launched on November 4, 2014, FEMB is issued by First Trust and focuses on bonds issued by emerging-market sovereign, sub-sovereign, and quasi-sovereign entities. These bonds are denominated in local currencies, offering exposure to diverse debt instruments across emerging markets.
FEMB's investment strategy aims to capture opportunities in the local currency bond markets of emerging economies. The ETF's actively managed approach allows for strategic selection and allocation of bonds based on credit quality, yield potential, and currency considerations. First Trust employs rigorous research and risk management techniques to optimize the fund's portfolio composition and enhance potential returns for investors.
First Trust's issuance of FEMB underscores its commitment to providing investors with access to emerging market debt securities denominated in local currencies. The fund's broad mandate includes sovereign bonds issued by national governments, as well as bonds from sub-sovereign entities such as local municipalities and quasi-sovereign corporations. FEMB's diversified exposure helps mitigate specific country and currency risks, offering investors potential for income generation and capital appreciation.
Through FEMB, First Trust seeks to offer a compelling investment vehicle that combines the benefits of active management with the transparency and liquidity of an ETF structure. The fund's adherence to First Trust's principles of research-driven investment strategies and investor education reinforces its role as a trusted partner in navigating opportunities within emerging market fixed income securities.
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