ICE BofA Private Sector Financial Emerging Markets Corporate Plus Index Option-Adjusted Spread
This dataset tracks ice bofa private sector financial emerging markets corporate plus index option-adjusted spread over time.
Latest Value
1.23
Year-over-Year Change
0.82%
Date Range
12/31/1998 - 8/8/2025
Summary
The ICE BofA Private Sector Financial Emerging Markets Corporate Plus Index Option-Adjusted Spread measures the credit risk premium for emerging market corporate bonds. This metric provides critical insights into global financial market stress and investor sentiment toward emerging market corporate debt.
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 spread between emerging market corporate bond yields and a benchmark risk-free rate, adjusted for embedded options. Economists and investors use this spread to assess the perceived credit risk and overall financial health of corporate sectors in developing economies.
Methodology
The spread is calculated by comparing the yields of emerging market corporate bonds to a risk-free benchmark, with statistical adjustments made to account for potential embedded options in the bonds.
Historical Context
Central banks, international financial institutions, and investment managers use this index to evaluate global financial market conditions and make strategic investment or policy decisions.
Key Facts
- Measures credit risk premium for emerging market corporate bonds
- Provides insights into global financial market stress
- Helps investors assess corporate sector health in developing economies
FAQs
Q: What does this index indicate about emerging market financial health?
A: A widening spread suggests increased perceived risk in emerging market corporate bonds, while a narrowing spread indicates improved investor confidence.
Q: How do investors use this index?
A: Investors use this index to make informed decisions about emerging market investments and assess potential risks in corporate debt markets.
Q: What factors can impact this spread?
A: Global economic conditions, geopolitical events, commodity prices, and regional economic performance can significantly influence the index.
Q: How frequently is this data updated?
A: The index is typically updated daily, providing real-time insights into emerging market corporate bond market conditions.
Q: What are the limitations of this index?
A: The index represents an aggregate view and may not capture specific nuances of individual emerging market corporate bonds or sectors.
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Citation
U.S. Federal Reserve, ICE BofA Private Sector Financial Emerging Markets Corporate Plus Index Option-Adjusted Spread [BAMLEMFSFCRPIOAS], retrieved from FRED.
Last Checked: 8/1/2025