Tid Bit: Investing in Africa

Year-to date portfolios of African securities have outperformed all global markets. Besides possessing a wealth of natural resources, some countries are enjoying greater political stability and between growing domestic demand and fast rising trade with China, growth is expected to continue. A few months ago, Obiageli Ezekwesili, World Bank Vice-President for Africa Region, predicted that after a 1.7% drop in growth during the global economic crisis, Africa’s economy will grow 4.2% this year, and 4.5% in 2011. This week Barron’s put the continent under the cover in an article entitled “The Final Frontier.” Roger Nussbaum picked up on the story and discussed numerous African Index funds and ETFs.

Average Annualized ReturnsLast Updated: July 30, 2010
Folio Inception YTD 1 year
S&P 500 with Dividends -0.11% 13.92%
Africa 04/05/2000 8.57% 25.71%
Latin America 04/05/2000 6.19% 38.89%
Foreign Small Cap 09/15/2008 4.26% 29.03%
China Select 09/28/2008 3.40% 9.28%
Western Pacific Rim 08/06/2009 0.46%

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s