"Bond king" underweight the U.S. fought in emerging market debt.

<P> Announced last week that the Fed maintain a zero interest rate policy to stimulate the economy, prompting evacuation of a large number of U.S. equity funds of funds, into the emerging markets to seek higher returns. .Fund tracker EPFRGlobal available data show that emerging market stock and bond fund net inflows increased. .</ P> <P> data show that as of August 11 in the week, the capital outflow from U.S. stock funds, nearly 40 billion U.S. dollars, except Japan, a net inflow of Asian Equity Fund $ 546,000,000. .At the same time, EPFRGlobal global bond funds tracked into the $ 4,460,000,000. .Among them, the emerging market bond fund inflows $ 811,000,000, the capital inflows this year to 21.6 billion, far exceeding last year's 8.3 billion of capital inflows. .</ P> <P> Pacific Investment Management Company (PIMCO) said the sharp decline in yields the case of co-chief investment officer of the company, the "bond king," said Gross holdings of U.S. government in July .related to bonds, emerging market debt holdings instead. .</ P> <P> data show that in July the company's TotalReturn Gross Fund-related securities held by the U.S. government share of total assets to 54% reduction, while in June compared to 63%. .At the same time, the Fund in July the proportion of emerging market debt held in June from 10% to 11%, a record high. .</ P> <P> However, the Fed governor, said Horn, not to treat monetary policy as a panacea for U.S. economic problems, for a long time to keep interest rates too low will lead to future re-staged serious economic recession and rising unemployment .This statement is so far the Fed's Monetary Policy Committee raised the Fed's current monetary policy, the most acute criticism. .</ P> <P> the other hand, the Fed zero interest rate policy also contributed to American companies competing to issue junk bonds. .Data showed last week issued 15.4 billion U.S. corporate junk bonds, a record high. .Some analysts said that the pursuit of higher yields, relatively mild in the case of default rates, junk bonds are still full of charm. .</ P>.