%0 Journal Article %A Daniel Broby %A Jennifer Passmoor %T Choosing an Appropriate African Equity Index %D 2012 %R 10.3905/jii.2012.2.4.034 %J The Journal of Index Investing %P 34-41 %V 2 %N 4 %X As African equity investing becomes more mainstream, investors are likely to gravitate toward an equity index family for benchmarking purposes. This article describes the challenges associated with adopting an African-based index. African equity markets are diverse and incorporate very different market capitalizations, sectors, and countries. In addition, the lack of liquidity in the various stock markets presents a large challenge. The authors conclude that as a result of the diverse methodologies, no single index truly captures the universe that investors are seeking.TOPICS: Emerging, equity portfolio management, mutual funds/passive investing/indexing %U https://jii.pm-research.com/content/iijindinv/2/4/34.full.pdf