Artisan Canvas

EM FX is structurally different from other asset classes—and that difference matters. The EMsights Capital Group examines how EM debt managers are using FX prime brokerage and clearing to reduce hidden costs, manage counterparty and settlement risk, and improve execution in complex currency markets.

Emerging Markets (EM) debt had quite the run in 2025. Hard currency sovereigns, local currency sovereigns and corporates all joined the rally, each delivering strong performance. Spreads are tight, volatility remains subdued and risk appears comfortably priced — perhaps too comfortably. 

EM debt has had a banner year thanks to tight spreads, declining yields and improving sentiment. But Senegal is an unwelcome reminder that not every sovereign is enjoying the party. While the asset class rallies, Senegal’s dollar and eurobonds are hovering just above distressed territory, making it one of the few that didn’t get the invitation.

A Q&A with Analyst Scott Hall, a member of the Artisan U.S. Value team.

The bank loan market has evolved substantially over the past two decades, creating significant potential opportunities for active managers.

If you had the potential opportunity to increase returns while reducing risk, wouldn’t you take it? 

In the spirit of continuous improvement, the Antero Peak Group actively reads to further develop perspectives on financial markets and investing, leadership and life experiences. Please see a list of books that have challenged our thinking over the last several years.

Asset managers typically execute trades through either centralized trading desks or traders embedded within investment teams. Centralized models can be effective across many asset classes, but we believe emerging markets debt requires a fully embedded approach. Hybrid models, where traders remain part of a central team but collaborate closely and sit physically with investors, still face the same limitations as purely centralized structures in emerging markets debt. Conversely, embedded, dedicated EM traders with aligned incentives offer greater execution flexibility and the settlement adaptability generally needed to drive better outcomes in this complex asset class.

The daily news headlines on global trade in recent weeks have been fast and furious. It’s been hard to keep up. One day tariffs are on, the next they’re off.

The emerging markets debt universe is broad and ever evolving, but the arrival of a new sovereign issuer has been relatively infrequent in recent years. When a country issues its debut Eurobond, it tends to capture investor attention — offering the potential for a new and interesting investment opportunity.