Emerging Markets Debt – Core - Lazard Asset Management Limited

This is a financial promotion and is not intended to be investment advice. In the UK this document, which is supplied for information only, is for distribution only to professional investors and advisers authorised to carry out business under the Financial Services and Markets Act 2000.

References to Director and other titles of employees of Lazard Asset Management are internal titles and do not necessarily imply any legal status or responsibility.

The Lazard Emerging Markets Bond Fund, the Lazard Emerging Markets Local Debt Fund and the Lazard Emerging Markets Total Return Debt Fund (together "the Sub Funds") are sub-funds of Lazard Global Investment Funds plc, an Irish-registered Open Ended Investment Company and recognised UCITS. Lazard Global Investment Funds PLC is authorised by the Financial Services Authority under section 264 of the Financial Services & Markets Act 2000 (“FSMA”) for the purposes of the marketing of the Company within the UK. The Central Bank of Ireland regulates all other aspects of the Company's operations. Subscriptions may only be based on the current prospectus. There will be no right to cancel any agreement under the FSA cancellation rules. Compensation under the Financial Services Compensation Scheme will not be available. Copies of the Simplified Prospectus for each sub-fund, Prospectus and Report & Accounts are available on request.

Past performance is not a reliable indicator of future results. Fluctuations in the rate of exchange between the currency in which shares are denominated and the currency of investment may have the effect of causing the value of your investment to diminish or increase. Securities identified in this document should not be considered as a recommendation or solicitation to purchase, sell or hold these securities. It should also not be assumed that any investment in these securities were, or will be, profitable. Investments in emerging markets carry an above-average degree of risk due to the undeveloped nature of the securities markets in those countries. Investors should consider carefully whether or not investment in emerging markets investments is suitable for them and, if so, how substantial a part of their portfolio such investments should be.

Yields from bonds reflect in part the risk rating of the bond issuer. Investment in lower rated bonds increases the risk of default on repayment and the risk to capital of the fund. High yielding assets may carry a greater risk of capital values falling or have limited prospects of capital growth or recovery. No investor should invest in high yield securities unless they are prepared to accept a high degree of risk to both income and capital.

The Funds invest in financial derivative instruments (“FDIs”). While the use of FDIs can be beneficial, they also involve risks different from, and in certain cases, greater than, the risks presented by more traditional investments. FDIs may be subject to sudden, unexpected and substantial price movements that are not always predictable. FDIs do not always perfectly or even highly track the value of the securities, rates or indices they are designed to track. The use of FDIs to gain greater exposure to securities, rates or indices than by a direct investment, increases the possibility for profit but also increases the risk of loss.

The Funds are also subject to the risk of the insolvency or default of its counterparties to FDI investments. In such events the funds may have limited recourse against the counterparty and may experiences losses.

Potential investors should pay particular attention to the risk disclosures in the Prospectus.

Investors are reminded that the value of investments and the income from them is not guaranteed and can fall as well as rise due to market and currency movements. When you sell your investment you may get back less than you originally invested.

Issued and approved by Lazard Asset Management Limited, 50 Stratton Street, London W1J 8LL Lazard Asset Management Limited is incorporated in England and Wales with registered number 525667. It is authorised and regulated by the Financial Services Authority.

The contents of this document are confidential and should not be disclosed other than to the person or persons for whom it is intended.

Performance Target
To outperform the JP Morgan EMBI Global Diversified Index by 2-4% p.a. gross of fees over a market cycle, with a tracking error of 2-4%.

We believe that the key benefits of the Lazard Emerging Markets Core Debt strategy are:

Exposure to the asset class without the local currency risk
Benchmark aware but seeks outperformance with lower-than-index volatility
A high-calibre portfolio management team, dedicated to emerging markets debt, whose approach has been tested over time through various economic cycles, having managed portfolios together since 1998*
A disciplined approach to measuring risk and scenario analysis as part of the portfolio construction process
Our diverse range of emerging market debt strategies allows us to understand the full opportunity set of emerging markets debt and base our portfolios on our best available ideas

This strategy is available via a segregated mandate or a Dublin-domiciled pooled fund, the Lazard Emerging Markets Bond Fund. Please contact us for more information.

*At previous firms, HSBC Asset Management (formerly Halbis); The Atlantic Advisors (acquired by HSBC in 2005). Target returns do not represent a promise or guarantee of future results.