Some funds advised by Legg Mason tweak emerging market definition

By Toni Weeks

San Luis Obispo, Calif., Feb. 28 - Several closed-end funds advised by Baltimore-based Legg Mason Partners Fund Advisor, LLC have changed their investment policy, according to a press release.

Specifically, each fund has modified the definition of "emerging market country" in order to allow portfolio managers the ability to extract additional value from the emerging market corporate sector and to align the funds with the evolving style of managing emerging market mandates exhibited by Western Asset Management Co. the funds' subadviser.

The previous investment policy for each fund considered a country to be an emerging market country if, at the time of investment, it was (i) represented in the J.P. Morgan Emerging Market Bond Index Global or (ii) categorized by the World Bank in its annual categorization as middle or low income.

Effective March 1, the investment policy for each fund will be amended such that a country may be considered an emerging market country if, at the time of investment, it is (i) represented in the J.P. Morgan Emerging Market Bond Index Global or the J.P. Morgan Corporate Emerging Bond Index Broad or (ii) categorized by the World Bank in its annual categorization as middle or low income.

The affected funds are as follows:

• Western Asset Global Corporate Defined Opportunity Fund Inc. (NYSE: GDO);

• Western Asset Emerging Markets Debt Fund Inc. (NYSE: ESD);

• Western Asset Emerging Markets Income Fund Inc. (NYSE: EMD);

• Western Asset Worldwide Income Fund Inc. (NYSE: SBW);

• Western Asset High Yield Defined Opportunity Fund Inc. (NYSE: HYI);

• Western Asset High Income Fund II Inc. (NYSE: HIX);

• Western Asset Middle Market Debt Fund Inc. (XWAMX);

• Western Asset Variable Rate Strategic Fund Inc. (NYSE: GFY);

• Western Asset Global Partners Income Fund Inc. (NYSE: GDF);

• Western Asset Inflation Management Fund Inc. (NYSE: IMF): and

• Western Asset Global High Income Fund Inc. (NYSE: EHI).

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.