Aberdeen Frontier Markets – Long term growth opportunity? – Marten & Co published the initiation of research note on Aberdeen Frontier Markets Investment Company (AFMC)
AFMC offers investors a diversified exposure to the superior growth prospects offered by frontier markets (stock markets that aren’t classified as developed or emerging). Its managers believe that weak commodity and energy prices, as well as concerns over Chinese growth, have weighed heavily on this area and the vast majority of investors are now underweight. A valuation gap has opened up, versus developed markets, but AFMC’s managers see the potential for a strong recovery in frontier markets should a rebound in earnings growth start to emerge. In the meantime, they expect that investors will be able to benefit from an attractive yield. AFMC’s board agrees that income is an increasing part of the rationale for investing in frontier markets and is introducing a semi-annual dividend.
Aberdeen Frontier Markets – Long term growth opportunity?
AFMC aims to generate long-term capital growth by investing predominantly in a diversified portfolio of funds and other investment products which derive their value from frontier markets. Investee funds may include closed-and open-ended funds, exchange traded funds, structured products and some direct equities.
You can access the fund’s website here
AFMC : Aberdeen Frontier Markets – Long term growth opportunity?