Alan Young

Frontier Market ETFs Can’t Handle U.S. Dollar Volatility

Thank you! I've been wondering why these very promising markets keep disappointing on returns. This is the best explanation I've seen so far.

The Case for Investing in Egypt

Thanks for a colorful and engaging article. I've never understood the investment case for Egypt; at least you take a stab at it.

The trick is to find a fund that provides exposure to the upside without getting washed out in a bunch of downsides. I like FRN, because its three big components (Chile, Poland, Egypt) are all islands of relative stability.

Why Every Investor Needs an Africa ETF

Good article.
I agree that Africa has great potential. HOWEVER:

Outside of South Africa (ZA) and Egypt, capital markets are scarcely developed enough to capture a reasonable percentage of the cash flow in local economies. Without these intermediaries, investment is neither reliable nor practical.

Meanwhile, the risk of corruption and political instability remains rampant. While you are waiting for your resource-based investments to pay off, they might get stolen, nationalized, expropriated, or destroyed by warfare, or simply become increasingly difficult to access due to poor infrastructure.

I would certainly consider trading positions in AFK--and I am already holding FRN, which has some African stocks. But caution is a must; these are far from safe. (Whose idea was that headline, "every investor needs..."?)

See also my related article, seekingalpha.com/artic...

Could Egypt’s Instability Cause Trouble for Africa ETFs?

Corruption--baksheesh--is the oldest institution in the middle east (not counting stoneworks). It makes no sense to call it destabilizing.

Egyptian Power Struggle Ahead? 3 ETFs to Watch

Thanks for an informative article. I agree with Chip that a selling panic would be the best buying opportunity (isn't it always?).
I currently hold shares of FRN, but keep an eye on AFK as well.

The Next 'Frontier' in ETF Investing: Risk = Reward

Thanks for keeping us up-to-date on the more obscure corners of the market.

I've been disappointed in the ETF issuers. They all crowd into the same areas with overlapping products (why do we need three ETFs for the Middle East?); but no one is offering any exposure to the most promising frontier markets in Asia: Sri Lanka and Vietnam.