Interesting African ETFs

[delu]

Hi there

Has somebody already evaluated African ETF?
I am planning to check possible investment options and thought that somebody might have some useful tips.

Many thanks in advance for any help or suggestions!

[chca]

There are some country-specific ones like www.globalxetfs.com/funds/nge/ (down 71% since inception …but current P/E ratio of 5!) which I used to have a small position in. Beware that in addition to lots of volatility and currency risk, markets in some countries (e.g., Nigeria, Angola) will be hugely affected by changes in oil prices.

[Double_A]

Frontier Markets is probably what you are interested in?

[delu]

Thanks a lot, @chca and @Double_A. I will check it out

[1000000CHF]

We already discussed Frontier:

Frontier Markets

Is anyone here investing in Frontier Markets (countries too small to be classified as EM)? Frontier markets make up approximately 6% of world GDP and comprise 1% of world stock market capitalization - so it means in my world market-cap weighted portfolio, they will take 1%, but still, it’s a nice addition to the wild ride of EM that can increase the risk/return over time. There are two ETFs covering this asset allocation, but the one that seems to be better diversified is iShares MSCI Frontier 1…

[glina]

Yes. There are basically just two broad ones. AFK (US-Listed) and XMKA (IE-listed). I’d pick the second one.

For individual countries, you are limited to three largest markets/ETFs, Nigeria (NGE), Egypt (EGPT) and South Africa (EZA).

Otherwise, you could go with broader frontier market ETFs such as FM and DX2Z.

[delu]

Thanks a lot for the great input!