Our current holding there would be the Morgan Stanley Emerging Markets Debt Fund ( MSD).

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By comparison, the iShares 3-5yr UST (IEI) exchange traded fund is up 5.9% and the Goldman Sachs Emerging Markets Debt (GSDIX) fund is up 3.2%.

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Meanwhile, higher yielding and therefore riskier emerging market debt is trading lower as measured by the iShares JP Morgan USD Emerging Markets Debt (EMB) ETF, a fund holding sovereign debt priced in dollars.

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The Goldman Sachs Emerging Markets Debt (GSDIX) fund is up 4.87%, while IEI is nearly 7%.

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The Templeton Emerging Markets Balanced Fund (TAEMX) invests in both emerging markets debt and equity.

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Fixed income fund managers piled into local currency debt of the big emerging markets for the third straight week, according to fund trackers at EPFR Global in Cambridge, Mass.

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While the Dreyfus fund focuses on emerging markets, it can diversify completely out of Brazilian government debt on Monday and load up on Mexico sovereigns and Hyundai corporate bonds on Tuesday.

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