With growth in the developed world and emerging markets slowing down, some investors are starting to turn to frontier markets.
With growth in the developed world and emerging markets slowing down, some investors are starting to turn to frontier markets. These markets are found across eastern Europe, sub-Saharan Africa, the Middle East, Asia and South America. Less developed than emerging market economies, frontier markets have lower market capitalisations and are less liquid stock exchanges. They therefore pose much higher risks for investors. But with rich natural resources, young populations and the potential to experience strong economic growth, are these markets an area that private investors should consider?
Gavin Haynes, managing director at Whitechurch Securities,