BlackRock Inc. (BLK:US), the world’s biggest money manager, said it reduced emerging-market positions, citing concern a reduction in bond buying, or quantitative easing, by the Federal Reserve may curb support for the assets.
“We had very little exposure to local emerging-market bonds but have trimmed our external emerging-market positions recently to reduce the levels of risk from this sector,” Scott Thiel, deputy chief investment officer of fundamental fixed-income in London, said today in an e-mailed statement.
“Sustained accommodative U.S. monetary policy has benefited these markets and the potential reduction in QE could reduce that liquidity and source of support,” Thiel said.
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