Global bond investors are beginning to view select emerging markets as safer than many far richer nations, a momentous shift that’s setting the stage for the next phase of outperformance in the asset class.

The trend is most evident in the sovereign and corporate securities from AA-rated countries like the United Arab Emirates, Qatar, Taiwan, South Korea and the Czech Republic. They have delivered stronger total returns this year than equally rated developed-world credits, in dollars as well as in local currencies.