Free Trial

Global Investor Magazine Copying and distributing are prohibited without permission of the publisher

Talking points: Investment trends in Africa

14 January 2013


Global and local fund managers tell Global Investor/ISF about emerging opportunities in Africa

Read more: fixed income equity investment Zambia

More and more emerging markets funds look to tap into frontier markets in Africa. Global Investor/ISF has asked experts about investment opportunties across various asset classes and regions on the continent. Fund managers and fund strategists discussed current trends in Africa as well as factors, suggesting that in the next years we will see sustainable inflows into the African markets.

Graham Stock, Insparo Investment Management: Opportunities in Africa are comparable to those in South East Asia in the '70s or in Latin America in the '90s. One of the drivers, which could signify an opportunity for African investment, is that fixed income produces high yields, higher than in Latin America for instance. The $750m Zambian bond that debuted earlier this year was 12 times oversubscribed. The reasons for the bond's success were the economic policies of the Zambian government and its low debt-to-GDP ratio. Quite a...