A rebound in commodities prices and signs of arnglobal recovery have renewed confidence in emerging-markets economies and revived investment flows to their equity markets. But some money managers say the most lucrative emerging-markets prospects may lie in the detritus of the credit crunch: the debt of distressed companies in these developing economies.rnDistressed debt is a staple of recession-era investing. Long-term investors with patience and restructuring experience can snap up bonds or loans of troubled companies at deep discounts and negotiate new financial terms that ensure strong returns, and often get the companies back on their feet. Most money managers have tended to stick to the U.S. and other developed Western markets, where the legal protections afforded to creditors are well established.
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