Frontier Markets – A Compelling Source of Income
rontier Markets can afford to pay higher dividends to attract investors whilst not compromising their growth. Being at an early stage of development, they have higher growth margins (higher SGR), which means that considering an equal amount of investment, they manage to produce more profits (higher ROE) than both Emerging and Developed Markets.
Frontier Markets represent an interesting asset class not only because of their diversification and high long-term returns benefits, but also because they are a compelling source of income, providing investors with higher dividend yield alongside sustainable growth levels.
