PT  - JOURNAL ARTICLE
AU  - Daniel Broby
AU  - Jennifer Passmoor
TI  - Choosing an Appropriate African Equity Index
AID  - 10.3905/jii.2012.2.4.034
DP  - 2012 Feb 29
TA  - The Journal of Index Investing
PG  - 34--41
VI  - 2
IP  - 4
4099  - https://pm-research.com/content/2/4/34.short
4100  - https://pm-research.com/content/2/4/34.full
AB  - 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