TCW Emerging Markets Local Currency Income Fund


Ticker Symbol
Daily NAV

Investment Team

  • Penelope D. Foley
  • David I. Robbins
  • Alex Stanojevic
For Financial Advisors

Access Emerging Markets Local Currency sales idea & standard presentation.

Fund Name Daily NAV1 Daily1 MTD1 YTD1 3-mo2
Annualized Performance2
3-yr 5-yr 10-yr3 Since Inc3
Expense Ratio
TCW Emerging Markets Local Currency Income Fund I
[Inception Date: 12/14/2010]
$9.54 -1.14% -1.65% 2.51% 4.23% 12.97% 6.05% 0.05% - 2.38% 0.99% 1.03%
TCW Emerging Markets Local Currency Income Fund N
[Inception Date: 12/14/2010]
$9.53 -1.14% -1.55% 2.51% 4.12% 12.87% 6.02% 0.01% - 2.34% 0.99% 1.35%
JP Morgan GBI-Emerging Markets Global Diversified - - - - 4.44% 12.99% 5.43% -0.67% - 1.56% - -
JP Morgan GBI-Emerging Markets Global Diversified - - - - 4.44% 12.99% 5.43% -0.67% - 1.56% - -
1 as of 04/20/18 (updated daily)
2 Performance as of 03/31/2018 (updated monthly)
3 Returns include the performance of the predecessor limited partnership for periods
before the Fund’s registration became effective. The predecessor limited partnership
was not registered under the Investment Company Act of 1940 (“1940 Act”) and
therefore was not subject to certain investment restrictions imposed by the 1940 Act.
If the limited partnership had been registered under the 1940 Act, its performance
may have been adversely affected.

Click here for detailed Quarterly/Monthly Performance 

Investment Objective

The Fund’s investment objective is to seek to provide high total return from current income and capital appreciation, through investment in debt securities denominated in the local currencies of various Emerging Market Countries.

Performance Returns

as of 03/31/2018 (updated monthly)

Distribution of Local Currency Allocation (%)

Brazilian Real 11.75
Indonesian Rupiah 11.36
Mexican Peso 10.71
South African Rand 8.80
Russian Ruble 8.48
Colombian Peso 7.40
Malaysian Ringgit 6.63
Turkish Lira 6.60
US Dollar 5.72
Romanian Leu 5.14
Peruvian Nuevo Sol 4.31
Egyptian Pound 3.11
Serbian dinar 2.75
Nigerian Naira 2.53
Hungarian Forint 2.46
Chilean Peso 0.99
Argentine Peso 0.85
Dominican Peso 0.32
Chinese Yuan 0.10
as of 3/31/2018 (updated monthly)

Credit Quality (%)

Cash 5.65
AA 0.84
A 11.19
BBB 42.37
BB 33.40
B 6.48
Hedge 0.07
High Yield 39.88
Investment Grade 54.40
as of 3/31/2018 (updated monthly)

Country Weightings (%)

Brazil 11.76
Indonesia 11.36
Mexico 10.72
South Africa 8.83
Russia 8.48
Colombia 7.40
Malaysia 6.63
Turkey 6.61
United States 5.65
Romania 5.14
Peru 4.31
Egypt 3.11
Serbia 2.75
Nigeria 2.53
Hungary 2.46
Chile 0.99
Other 1.27
as of 3/31/2018 (updated monthly)

Portfolio Sector
Distribution (%)

Corporates 0.18
Sovereigns 93.60
Quasi Sovereigns 0.50
Hedge 0.07
as of 3/31/2018 (updated monthly)

Sector Distribution of Quasi Sovereign and Corporates (%)

Cash 5.72
Oil & Gas 0.40
Financial 0.18
as of 3/31/2018 (updated monthly)

Portfolio Characteristics

Blended Spread 465 bps
Spread Duration 4.8 yrs
Average Life 6.6 yrs
as of 3/31/2018 (updated monthly)

Legal Disclosures

The source for all charts and tables above is TCW

ADR (American Depositary Receipt) – A negotiable certificate issued by a U.S. bank representing a specified number of shares (or one share) in a foreign stock that is traded on a U.S. exchange. ADRs are denominated in U.S. dollars, with the underlying security held by a U.S. financial institution overseas. ADRs help to reduce administration and duty costs that would otherwise be levied on each transaction.

Common Stock - A security that represents ownership in a corporation.

Convertibles – Securities, usually bonds or preferred shares, that can be converted into common stock.   

– A type of debt instrument that is not secured by physical assets or collateral.

– Stock that provides a constant dividend and stable earnings regardless of the state of the overall stock market.

GDR (Global Depositary Receipt) – A bank certificate issued in more than one country for shares in a foreign company. The shares are held by a foreign branch of an international bank. The shares trade as domestic shares, but are offered for sale globally through the various bank branches.

Market Capitalization – Represents the aggregate value of a company or stock. It is obtained by multiplying the number of shares outstanding by their current price per share.

Preferred Securities/Preferred Stock – A class of ownership in a corporation that has a higher claim on the assets and earnings than common stock. Preferred stock generally has a dividend that must be paid out before dividends to common stockholders and the shares usually do not have voting rights.

Rights– Give stockholders entitlement to purchase new shares issued by the corporation at a predetermined price (normally at a discount to the current market price) in proportion to the number of shares already owned.

Warrant – A derivative that confers the right, but not the obligation, to buy or sell a security – normally an equity – at a certain price before expiration.

About Performance
The performance data presented represents past performance and is no guarantee of future results. Total returns include reinvestment of dividends and distributions. Current performance may be lower or higher than the performance data presented. Performance data current to the most recent month end is available on the product detail page for each Fund. Investment returns and principal value will fluctuate with market conditions. The value of an investment in the Fund, when redeemed, may be worth more or less than its original purchase cost.
Net and Gross Expense Ratio
Annual fund operating expenses as stated in the Prospectus dated February 28, 2018.
* Effective February 28, 2018, the Advisor has contractually agreed to cap the expenses (excluding interest and acquired fund fees and expenses, if any) of each class of the Fund at 0.99% until March 1, 2019.
There can be no assurance that the objectives and/or trends will come to pass or be maintained.
Portfolio Characteristics & Holdings
It should not be assumed that an investment in the securities listed was or will be profitable. Portfolio characteristics and holdings are subject to change at any time.

This content may include estimates, projections and other "forward-looking" statements. Actual events may differ substantially from those presented. TCW/MetWest assumes no duty to update any such statements. All projections are based on current asset prices and are subject to change.

Credit Quality

These ratings are provided by one or more outside credit agencies including Moodys, Standard & Poor’s and Fitch Ratings. The procedure used in calculating the Fund’s ratings breakdown involves assigning a rating based on the decision rule below, linking the rating to the Moody’s rating factor (numerical scale), weighting the securities and their ratings by their market value dollar amount and arriving at a weighted average rating factor. Credit quality ratings are subject to change and pertain to the underlying holdings of the Fund and not the Fund itself.

The decision rule used in calculating the Fund’s ratings breakdown involves: i) a 2 out of 3 approach of the ratings of the three credit agencies Moody’s, Standard & Poor’s & Fitch for each security; in the rare cases where the rating buckets of the three agencies differ the middle of the three will be taken; if ratings are only available from two agencies the lower of the two would be selected; ii) applying a “Ca” rating (which is the lowest rating with a numerical value) if the security is unrated by any of these three agencies; and iii) applying “Aaa” rating to cash, which is invested in overnight repo backed by U.S. Treasuries. Gradations of creditworthiness are indicated by rating symbols, with each symbol representing a group in which the credit characteristics are broadly the same. The AAA rating is the highest (best) rating and D is the lowest (worst) rating, the Unrated category contains bonds that are not rated by a nationally recognized statistical rating organization. The procedure has been in effect since the change in methodology used by JP Morgan for the EMBIGD index in late 2015. The credit quality of the investments in the portfolio does not apply to the stability or safety of the Fund.

JP Morgan Government Bond Index-Emerging Markets Global Diversified (GBI-EM GD) – A comprehensive global local emerging markets index that consists of regularly traded, liquid fixed-rate, domestic currency government bonds and includes only the countries which give access to their capital market to foreign investors (excludes China and India). The index is market capitalization weighted, with a cap of 10% to any one country.

The index is not available for direct investment; therefore its performance does not reflect a reduction for fees or expenses incurred in managing a portfolio. The securities in the index may be substantially different from those in the Fund.

A Word About Risk

Fixed income investments entail interest rate risk, the risk of issuer default, issuer credit risk, and price volatility risk. Funds investing in bonds can lose their value as interest rates rise and an investor can lose principal.

Fund share prices and returns will fluctuate with market conditions, currencies, and the economic and political climates where the investments are made. Emerging markets securities carry special risks, such as less developed or less efficient trading markets, a lack of company information, and differing auditing and legal standards. The securities markets of emerging markets countries can be extremely volatile.

The Fund’s investments denominated in foreign currencies will decline in value if the foreign currency declines in value relative to the U.S. dollar.
Obtain a Prospectus

You should consider the investment objectives, risks, charges and expenses of a mutual fund carefully before investing. A Fund’s Prospectus and Summary Prospectus contain this and other information about the Fund. To receive a Prospectus, please call 800-386-3829 or you may download the PDF TCW Funds Prospectus. Please read it carefully.

The TCW Funds are distributed by TCW Funds Distributors LLC

Investment Team

  • Photo: Penelope D. Foley
    Penelope D. Foley
    Group Managing Director

    Ms. Foley is a Portfolio Manager for the TCW Emerging Markets and International Equities Groups. Prior to joining TCW in 1990, Ms. Foley was a Senior Vice President of Drexel Burnham Lambert where she was involved in the management of DBL Americas Development Association, L.P. and in the provision of investment and merchant banking services in Latin America. Before Drexel, she was a Vice President in Citicorp's Investment Bank and was responsible for Eurosecurities, project finance and private placements in Latin America and Canada. Previously, she was an Associate in the Corporate Finance Department at Lehman Brothers. Ms. Foley attended Northwestern University and holds a BA from Hollins College.

  • Photo: David I. Robbins
    David I. Robbins
    Group Managing Director

    Mr. Robbins is a Portfolio Manager for the TCW Emerging Markets and International Equities Groups. Prior to joining TCW in 2000, Mr. Robbins was with Lehman Brothers where he was responsible for global emerging markets trading in the Fixed Income division. Prior to that, he worked at Morgan Stanley from 1983-1997 where he was head of Emerging Markets Trading. Mr. Robbins received a BA in Economics and History from Swarthmore College.

  • Photo: Alex Stanojevic
    Alex Stanojevic
    Managing Director

    Mr. Stanojevic is a Portfolio Manager for the TCW Emerging Markets Group. Prior to this, he served as the team’s Head Trader, where he was responsible for trading emerging markets fixed income assets and determining relative value opportunities in the investable universe. Mr. Stanojevic joined TCW in 2005 from Coast Asset Management LP, where he was responsible for interest rate derivatives transactions, trade modeling, research, and performance reporting. Mr. Stanojevic received his BS in Finance from the California State University Long Beach (Magna Cum Laude), and an MBA from Loyola Marymount University, Los Angeles.