Regular readers need to accept my sincerest apologies…updates for the next week will be rather itinerant due to a taxing MBA orientation schedule.

In the meantime, I’d like to mention that Silk Invest CIO Daniel Broby, a friend of the blog whom I consider to be an (the?) authority on frontier market investing, will be presenting a paper entitled “The case for frontier market fixed income” that he co-authored along with Silk’s Director of Fixed Income, John Bates, at the “Challenges of Globalising Financial Systems” conference to be held at the Hashemite University in Jordan on October 21-22, 2009.

The paper, which Daniel allowed me a sneak preview of, and surrounding which Mr. Bates was kind enough to answer some of my questions, posits that frontier fixed income “should be included in strategic asset allocation using a technique known as reverse asset allocation,” in order to benchmark the currently off-benchmark instruments “to the way the world will be, not the way it is now.” Significant spread differentials still exist within the frontier debt market universe, even though corporate issuers “tend to have relatively strong balance sheet fundamentals and are generally well managed.”

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