PCY

PCY gives you passive exposure to U.S.-dollar-denominated sovereign (government) bonds issued by emerging market countries, focusing on bonds that have at least 3 years left until maturity at each rebalance.

The index uses liquidity and relative-value screens, then typically picks 1–3 bonds per country and applies a tiered, country-balancing weighting approach.

The portfolio is reviewed and refreshed quarterly, and the fund may use sampling (it doesn’t have to own every bond in the index).