Overview

• A client notice confirms the GBI-EM Global Diversified index will lower its single-issuer cap from 10% to 9% in phased steps across the first half of 2026.
• The adjustment will shift index weight away from large issuers such as China, India, Indonesia, Mexico and Malaysia toward smaller markets.
• Thailand, Poland, South Africa and Brazil are cited as among the biggest beneficiaries of the reweighting.
• JPMorgan says the recalibration will provide more balanced regional exposure and raise the benchmark’s headline yield.
• Saudi Arabia and the Philippines were placed on watch for possible future inclusion, with estimated weights near 2% and 1% if added, while some India-focused analysts expect only limited impact on inflows.