Commonwealth Funds: Africa Fund
Why Africa Now?
Over the last decade, it has become evident to us that emerging markets of the world have been supported by the continuing inflow of capital invested in industrial capacity, financial products, healthcare, power generation facilities, sanitation and clean water production designed to collectively produce goods and services for not only the host countries but for export as well. Many countries within the continent of Africa can be named among these growing nations.
The continent of Africa is known for being both a resource-rich area representing the second largest land mass and being populated by approximately 15 percent of the world's citizens many of whom are believed to be members of a growing base of consumers.
To capture this potential emergence by investing in companies within these selected countries can be challenging at best. We believe the process requires a dedicated research effort and analysis of the various government inter-country alliances, the separate marketplaces where the financial instruments of the companies are traded, the legal framework and governance overseeing these endeavors as well as an analysis of the financial systems employed to provide information for the investing public.
After thorough consideration of these and other factors, it is our opinion there are significant opportunities available which we believe represent long term potential. It is our goal to have many of these opportunities available through the Africa Fund portfolio.
The investment objective of the Africa Fund is to provide long-term capital appreciation and current income by investing in various African countries' financial markets and economies.
Many factors impact the Fund’s expense ratio, including the level of net assets. The Advisor has agreed to waive certain annual expenses on a contractual and voluntary basis, however, the voluntary reimbursement for the Africa Fund’s expenses are subject to the Advisor’s discretion and may be discontinued at any time. Please see the prospectus for further details.
Risks of Investment: Learn about the principal risks of investing in the Africa Fund, which includes market, foreign security and geographic risk.