Once exciting frontier markets out of favour for now

By Rita Raagas De Ramos | 8 April 2009
Keywords: frontier markets
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Higher oil prices and an improvement in risk appetite are needed to revive general interest in the small and less liquid markets.

Frontier markets were all the rage in the first half of 2008. Pre-Lehman Brothers' collapse, frontier markets -- particularly the Middle East and North Africa (Mena) region -- were shaping up to be the next big investment theme.

But that was then. Now, frontier markets have been exposed for the risk that many people were previously willing to overlook for the promise of investing early and reaping the potential rewards later.

A frontier market -- if we are to take the broadest possible definition -- is one where there is still no investment bandwagon to jump on. That's ...

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AsianInvestor
March 2010