Fri, Dec 19, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

The Big Picture: African equity returns expected to be driven by earnings growth rather than re-ratings

Monday, March 24, 2014

amb
Fatima Vawda
Benedicte Gravrand, Opalesque Geneva:

As frontier markets continue to outperform emerging markets, a fund manager, who is riding this promising wave by investing in African equities, explains what is driving economic growth in Africa (excluding South Africa), and gives a short and long term outlook for this market.

The Pangaea Africa Fund of Funds is an equity Fund launched in June 2011 by 27four Investment Managers, a firm based in Johannesburg, South Africa, named after a date, 27 April 1994, when South Africa saw its first democratic election. It invests in five to ten Africa (ex South Africa (S.A.)) focused mutual funds at any one time.

Frontier markets continued to outperform emerging markets in 2013, a trend seen in the second half of 2013 when US Fed taper talk saw emerging market (EM) currencies weaken substantially while most frontier market currencies held firm. Africa (ex S.A.) was the best performing frontier region for the last quarter of last year, driven by Egypt, and for the year 2013, sub-Saharan African markets had the best performance, after a strong 2012. From the beginning of 2012, these markets have returned 86% as measured by the MSCI FM Africa Index (54% in 2012, 31% in 2013, and currently down -7% YTD).

Economic growth view According to 27four, over t......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Investing - Big hedge funds win again on PetSmart, Riverbed, RBS sells real estate loans to hedge fund Cerberus, Talisman energy speculation: Which hedge funds could benefit?[more]

    Big hedge funds win again on PetSmart, Riverbed From CNBC.com: Another week, another set of wins for activist investors. On Sunday, pet supply retailer PetSmart agreed to the largest leveraged buyout of the year at $8.7 billion. Hedge fund firm JANA Partners had been pushing for a sale a

  2. Outlook - Hedge fund manager who remembers 1998 rout says prepare for pain, Bond guru Bill Gross predicts U.S. economic growth to dip to 2%[more]

    Hedge fund manager who remembers 1998 rout says prepare for pain From Bloomberg.com: Stephen Jen landed in Hong Kong in early January 1997 as Morgan Stanley’s newly minted exchange-rate strategist for Asia. He was soon working around the clock when investors began targeting the region’s

  3. Opalesque Exclusive: U.S. legal receivables fund launched in August[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Investing in asset-backed receivables is a strategy that has been an integral part of the alternative investment space within the overall fixed income asset c

  4. Comment - High fees and low performance hit hedge funds[more]

    From FT.com: Disenchantment over high fees and lackluster performance may finally be turning the tide against hedge funds, fresh data suggest. Despite generally weak returns since the global financial crisis, hedge funds have enjoyed positive net inflows every year since 2010. This helped assets und

  5. Performance - Lansdowne, Man Group, other hedge funds profit from shorts in oil, Turmoil boosts hedge funds that bet against Russia, oil, CTAs post strongest returns since December 2010[more]

    Lansdowne, Man Group, other hedge funds profit from shorts in oil From Valuewalk.com: The rising short interest in oil companies implies that the worst for oil is yet to come. Data from Markit shows that short exposure in energy sector of S&P 500 is still looming close to the highest mar