The rise in Treasury yields due to the Fed's increased tapering of bond purchases and the recent hawkish tone of some of its members is already priced into emerging markets debt, says Binqi Liu, portfolio manager for the HSBC Emerging Markets Debt Fund. Liu says the worst is over for emerging market bondholders and investors should not fear a Chinese hard landing. She sees value in bonds issued by the so-called "Fragile Five": Indonesia, Brazil, Turkey, South Africa and India. And while Turkey has seen some negative headlines lately, Liu says the underlying economy remains strong.

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