How Best to go about Investing Offshore

Given the compelling reasons for investing offshore, which include diversification benefits, reduced emerging-market and currency risk, and maintenance of “hard” currency spending power, how best should investors go about investing offshore?

The answer depends on investors’ personal circumstances, risk profile and long-term financial planning objectives. Investec therefore suggest that investors consult a professional financial adviser who can help identify investment products that address their specific requirements, which may include:

Investing in an FSCA-approved collective

Nigeria Economy: Naira gains 17%, Sells for 310/dollar

The naira rose by 17.3 per cent on Tuesday against the dollar at the parallel market to 310 from 375, which it traded on Monday.

 

The naira had been on a free fall in the last two weeks, peaking at 391 against the greenback at the parallel market last week Thursday. The local currency, however, began a gradual recovery on Friday.

Foreign exchange dealers told our correspondent on Tuesday that the naira’s recovery could be linked to the gradual inflows of foreign exchange into the forex market.

Quick facts about Devaluation

Q. What is Currency Devaluation?

A. Devaluation is a deliberate downward adjustment to the value of a country’s currency, relative to another currency, group of currencies or standard. It is a monetary policy tool of countries that have a fixed exchange rate or semi-fixed exchange rate. It is neither depreciation nor revaluation.

A rise fall in the value of the domestic currency in terms of other foreign currencies in the case of fixed exchange rate system is referred to as devaluation, according to the Central Bank of Nigeria.

CBN: Naira To Weaken Further As Dollar Demand Soars

 

The naira will weaken further at the parallel market this week after shedding nine per cent of its value last week, foreign exchange dealers and economic experts have said.

Last week, the local currency fell from 310 to 338 as acute shortage of the greenback lingered.

Nigeria Currency drops to 251/dollar, external reserves now $29.7bn

The naira crashed further against the dollar from 247 last Thursday to 251 on Saturday at the parallel market.

This came barely one week after the Central Bank of Nigeria cut foreign exchange supply to Bureau De Change operators.

 

The central bank had during its weekly forex sale to the BDCs last Wednesday refused to sell forex to operators that failed to render returns on the utilisation of previous forex bought at the official window.

Battle, Africa’s Currency Rout shows Underbelly of its Economies

Africa is battling the global currency markets with one hand tied behind its back.

With foreign-exchange reserves equal to less than a 10th of the emerging-market average, nations from Ghana to Zambia are finding they’re powerless to stop their currencies from tumbling amid a rout in commodities and the prospect of higher interest rates in the U.S. Seven of the 20 worst-performing currencies this year are from Africa, even though policy makers are burning through their reserves faster than any other region.

 

Nigeria Currency Appreaciated in Technology Business 'Buy Apple,’ NSE tells Nigerians

Nigerians will soon be able to invest in companies such as Apple Inc. and LVMH Moet Hennessy Louis Vuitton SE in their local currency at their local bourse.

Not that these global companies are looking to sell shares in the African nation yet.

How we Discovered N8bn Currency Fraud – CBN

The Central Bank of Nigeria (CBN) yesterday explained how it discovered the N8 billion currency fraud. In a statement issued yesterday, Director, Corporate Communications, CBN, Alhaji Ibrahim Muazu said, “The Central Bank of Nigeria (CBN) would like to inform the general public of the chronology of events that led the Management of the CBN to handover some unscrupulous staff to the Economic and Financial Crimes Commission (EFCC) for prosecution.

Police Uncover Fake Currency Factory in Ibadan

The Oyo State Police Command has discovered a place in a remote village of Ibadan, where thousands of fake pounds, euros, dollars and other foreign currencies were being produced.

FirstBank’s N410bn earnings leads as Tier 1 banks results tumble in

Among Tier-1 Nigerian banks, First Bank of Nigeria Limited led others with N410.6 billion recorded in full year 2014 gross earnings, up by 21% year-on-year (y-o-y) against the 2013 level of N339.3 billion.

Recall that of  the bank’s rivals, GT Bank plc reported N278.520bn full year 2014 gross earnings; Zenith Bank plc reported N403.3bn gross earnings in same period; Access Bank plc recorded gross earnings of N245.1bn; United Bank for Africa plc reported N290.02bn gross earnings in full year 2014; while Stanbic IBTC Holdings plc recorded N130.6bn as 2014 gross earnings.