As of November 6th Tundra Frontier Opportunities Fund merged with Tundra Sustainable Frontier Fund, the combined assets are now managed under the name Tundra Sustainable Frontier Fund. Read more here.
“The combined population of Nigeria, Vietnam, Pakistan and Bangladesh is greater than the whole of the European Union but the combined market capitalisation of these countries is less than half of the Stockholm Stock Exchange”
Frontier markets are the new emerging markets. Countries such as Vietnam, Bangladesh, Nigeria and Pakistan are about to repeat the economic success India and China already have had. The development is driven by a young, fast growing population which thanks to education gradually is becoming more productive.
Infrastructure investments, urbanization, foreign direct investments and increasing political stability combined with economic reforms are also contributing positively.
The fund applies a sustainability approach to the investment process. Companies involved in the production and marketing of tobacco, alcohol, weapons, pornography or commercial gambling are excluded from the fund. Companies breaching the UN Conventions are also excluded. The sustainability process is based on so called Engagement where Tundra has dialogues with companies breaching the conventions.