Investment Fund Brokers in Africa

Countries such as India, China as well as Latin America have already shown promise when it comes to stocks and the economy. Now, investors have started looking at Africa as an investment haven of sorts.

The main reason Africa has surfaced on the investment map is because of New Star is going to launch the new fund called Heart of Africa. This is one of the few exclusive portfolios in Africa and is mainly targeted at investment across sub-Sahara area. These investments will not be inclusive of South Africa.

In earlier years, Africa was known for its struggling economy, tremendous degree of political instability and many other worries, which is why it was considered unfit for any investment purposes. This is surprising, given the fact that the country provides as much as 30% of Gold across the globe and half the quantity of platinum and diamonds! This is sad given the fact that the country has so many natural resources.

Many investors are slowly foreseeing a positive change taking place in Africa, which is expected to open new doors and horizons for investment here. However, most investors are still extremely skeptical about investing here because of the notion of it being an underdeveloped market. The effective understanding of investment fund brokers can be very lucrative to individuals finances. The key is to understnd the Fondsvermittler and also about Geschlossene Fonds.

If investors do want to take the plunge and experiment with this new-found change they should be prepared for a high level of risk. Therefore, only those investors should apply who have ample capital to invest and are prepared to lose some or all of it.

The reason investors are considering Africa as an investment destination is because of the recent positive developments taking place here. For example, there is now peace inside the Congo Republic, an increasing number of trading opportunities are now surfacing in South Sudan as well as North Uganda. The Union of EAC or East African Customs has resulted in accelerated trade between Kenya and Uganda. Over 211 million pounds of goods were exported from Uganda to Kenya during the past year. The union was joined by both Burundi and Rwanda meaning the economy is not about 21 billion pounds.

These past changes in the economy and political scenario have opened up doors for investors, prepared to take a risk. It is anticipated that growth of the economy in the sub-Sahara area will be around 6.7%, which is a big increase. These developments entail that the overall landscape for investment has undergone a sea change and more opportunities are likely to present themselves soon. There is more FDI being pumped into the African economy, more stability in politics and better corporate governance – all conducive to more investments here.

The state of Nigeria enjoys a stronghold in the finance sector and the New Star fund will however focus on consumer goods. These include common items like medicines and food items. Segments like telecommunications and infrastructure are also expected to be profitable in the stock segment. The mainly African funds currently available include Magna Africa, Africa Opportunity fund etc.