Africa
Africa presents an almost limitless opportunity for investors looking to do well and do good.
A speaker's tour in East Africa gave Markus Schuller a compelling window into how four rising economies are working to find a place for their nascent finance sectors in global capital markets.
Africa is a unique opportunity because it is a “blank slate,” according to Bob Geldof. “Corkers,” his description of firms poised to take off once they get capital, are just waiting for new investment.
“Why are investors not investing in Africa?” Bob Geldof asked the audience at the 69th CFA Institute Annual Conference. “The data are there, but you lot never look at it. Weird!”
When I'm not working, I'm often thinking about work and the conditions that enable employees to thrive. Recently I stumbled on a short excerpt from Jack Bogle about the intangibles that define a successful workplace, and it really resonated with me.
Back in 1991, when I was about halfway through a two-and-half year work-travel adventure that took me from Cape Town, South Africa, to mucking out stables on a horse farm in France, fruit-picking in Australia, and various stints in London, including staffing the front of house at a theater in the West End, I stumbled upon the late Oliver Sacks's wonderful book The Man Who Mistook His Wife for a Hat.
Many investors say that Africa is still too risky, but the biggest risk may be not investing in Africa in the first place.
Develop a strategy for Africa now before it’s too late, say two experts on investing in Africa. Nathan Jaye, CFA, speaks with Melissa Cook, CFA, and Walé Adeosun, CFA, about the challenges and opportunities offered by the continent — and the biggest risk may be sitting the game out.
Goldman Sachs recently released its “S&P 500 Beige Book,” a quarterly survey of corporate conference calls which similarly collects “anecdotal evidence of fundamental and thematic trends” from which they highlight major themes.
Tendai Musikavanhu, CFA, shares his views on the obstacles to investing in Africa, such as insufficient information, illiquid markets, limited investor protection, and poor perception. He also explains why he think passive investing is better than active investing in Africa.