EMB: A Big EM Bond Rally Is Coming (NASDAQ:EMB)

EM bonds look bullish in the short term as declining UST yields and improving credit risk are both supporting the sector. With a yield of 7.3%, the iShares J.P. Morgan USD Emerging Markets Bond ETF is likely to deliver highly positive real returns. The ETF is also likely to outperform most EM equity funds, with the added benefit of less volatility.