ICE BofA BBB Emerging Markets Corporate Plus Index Effective Yield
This dataset tracks ice bofa bbb emerging markets corporate plus index effective yield over time.
Latest Value
5.09
Year-over-Year Change
-1.74%
Date Range
12/31/1998 - 8/6/2025
Summary
The ICE BofA BBB Emerging Markets Corporate Plus Index Effective Yield measures the average yield of BBB-rated corporate bonds from emerging market economies. This metric provides critical insight into the risk and return characteristics of corporate debt in developing financial markets.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
This index represents the weighted average effective yield of corporate bonds rated BBB in emerging markets, reflecting the cost of borrowing and investor risk perception. Economists and investors use this indicator to assess the financial health and investment attractiveness of emerging market corporate sectors.
Methodology
The index is calculated by Bank of America Merrill Lynch using a market-value weighted approach for BBB-rated corporate bonds from emerging market issuers.
Historical Context
This yield trend is used by central banks, investment firms, and policymakers to evaluate emerging market corporate credit conditions and potential investment opportunities.
Key Facts
- Represents BBB-rated corporate bonds from emerging economies
- Provides insight into corporate borrowing costs
- Reflects investor risk perception in developing markets
FAQs
Q: What does a high effective yield indicate?
A: A high effective yield suggests higher perceived risk in emerging market corporate bonds, potentially reflecting economic instability or lower credit ratings.
Q: How often is this index updated?
A: The index is typically updated daily, reflecting real-time changes in bond market conditions and investor sentiment.
Q: Why are BBB-rated bonds significant?
A: BBB-rated bonds represent investment-grade securities that are considered medium-risk, offering a balance between potential returns and credit risk.
Q: How do investors use this index?
A: Investors use this index to compare corporate bond yields across different emerging markets and make informed investment decisions.
Q: What factors influence this yield?
A: Factors include global economic conditions, country-specific risks, currency fluctuations, and overall market sentiment toward emerging economies.
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Citation
U.S. Federal Reserve, ICE BofA BBB Emerging Markets Corporate Plus Index Effective Yield [BAMLEM2BRRBBBCRPIEY], retrieved from FRED.
Last Checked: 8/1/2025