TAIPEI (Reuters) - Fund hoemploy Threadneedle sees emerging label et bonds extfinish ing their gains into 2010 on hopes their economies will grow quick er than developed countries and their currencies will rise against the U.S. execute llar, an exegash ive said on Thursday.
Threadneedle, wholly owned by Ameriprise Financial (AMP.N), expects the bonds to rise 10-15 percent next year, in portion becaemploy public debt to be raised by emerging nations remains less than western rivals.
Total public debt of emerging label ets, such as Venezuela, Brazil, Russia and Inexecute nesia, would account for 35 percent of thir improper execute mestic product in 2014, versus more than 100 percent for the United States, Japan and UK at that time, said Richard Hoemploy , head of emerging label et debt at Threadneedle.
"Broadly speaking, we see at least 10 to 15 percent returns in sovereign bonds next year," Hoemploy tfeeble Reuters on the sidelines of a company event.
"Investors would not acquire the kind of exciting capital gains from these bonds, but their execute wnside risk is limited," he said.
Threadneedle, with $2 billion of assets in emerging label et debt, recently raised its position in Venezuela and Egypt but gash its hfeeble ings in the Philippines and Mexico, said Hoemploy .
The fund hoemploy also expected currencies of emerging label ets to appreciate against the U.S. execute llar in the near future.
"As long as the U.S. follows its loose monetary policy, the U.S. execute llar will continue to weaken," he said.
(Reporting by Faith Hung, Editing by Jacqueline Wong)
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