Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at

Why this AA-rated frontier markets star is pinning his hopes on multinationals

by Chris Sloley on Jul 18, 2014 at 14:51

‘Given the immaturity of the regulations in Nigeria, GSK Plc were legally permitted to vote their majority shareholding and force the deal through.’

Leger said the fund opted to engage in minority shareholder activism. This move, he said, ultimately led to SEC prohibiting GSK Plc from using their voting shares and the proposed takeover offer was withdrawn.

While instances like this may occur, Leger said, the better level of corporate governance and stronger balance sheets makes multinationals a more attractive way to invest in the frontier.

At present, Leger has 30.3% of the fund exposed to the consumer discretionary sector, as well as 20.3% in financials. At a country level, Nigeria (26%) marks the largest geographic bet at present.

The Coronation Africa Frontiers A has returned 42.8% in US dollars over the three years to the end of June 2014. This compares with a rise of 14.85% by its Citywire benchmark, the Dow Jones Africa Titans 50 TR, over the same period.

Sign in / register to view full article on one page

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Sponsored Video: Bringing it all back home

As the UK coalition government strives to rebalance the national economy, so called 'reshoring' looks set to play an increasingly important role in economic recovery.

Today's top headlines

Sponsored Video: Barings on investing in Frontier Markets

From Nigeria to Pakistan and from Kenya to Kuwait, frontier markets are catching investors' attention as never before.

More about this:

Look up the funds

  • Coronation Africa Frontiers A
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Look up the fund managers

  • Peter Leger
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

More from us



On the road

Click here to find out more from the Audience Development team.

Sorry, this link is not
quite ready yet