Despite the gloom in the
American economy, there are many other
countries experiencing unprecedented
growth. For instance,
which African stock market index is up
over +350% over the past
five years?
A.) FTSE/JSE Africa Top 40 Index (South
Africa)
B.) NSE 20 (Kenya)
C.) MASI Index (Morocco)
D.) Zimbabwe Industrial Index (Zimbabwe)
E.) GSE All-Share Index (Ghana) |
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Published:
May 26, 2008
The
correct answer is
(A.) FTSE/JSE Africa Top 40
Index (South Africa)
Over the past five years, the
FTSE/JSE Africa Top 40 Index --
which consists of the largest 40
companies by market value in South
Africa -- is up over +350%. This
equates to an annualized
return of about +35%, making it one
of the world's most successful
markets for investors. And while the
U.S. markets have faltered, thanks to
rising commodity prices South
African stocks have continued to
boom +18% so far in 2008.
South Africa's economy -- the
largest in Africa -- is driven by
its valuable mining and energy
sectors, which account for about 40%
of its stock market capitalization.
The nation is the world's largest
producer of gold and platinum and
one of the top producers of coal and
diamonds. It's also rich in copper,
iron ore, and uranium, among other
metals experiencing rising demand.
Of course, this means many South
African companies are seeing their
coffers filled with cash... cash
they have decided to dole out to
investors in the form of dividends.
And anywhere in the world there are
dividends, you'll find
High-Yield International
editor Nick Lanyi.
In the latest issue of his
newsletter, Nick offers an in-depth
look at the South African market
and of one South African company in
particular. This little-known firm is yielding a whopping
9.3% -- but trades right here on the
NYSE! To learn the name of this
stock, and to learn more about the
High-Yield International
newsletter. Please
visit this link.
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