Balance Your Risk By Using Varied Investment Vehicles - Investing Essentials
The legal protection of international foreign investments by states is one key instrument and a very important mechanism to ensure the sustainable economic development in African countries. It is one complex issue of Public International Law domain, especially when it comes to specific measures adopted by states at the level of the national legal frameworks. The legal, business and economic environment for FDI in Eastern and Southern Africa (ESA) and the protection of international foreign investments is regulated at various levels, by international agreements / treaties, regional agreements and national codes or legislation. The domestication of international agreements / treaties as well as regional agreements into national legal systems and their subsequent enforcement by individual states requires specific procedures of ratification and implementation.
Stock market investing is one of the fundamentals of value investing. By diversifying investments into the stock market it is possible to spread out investment funds into a wide variety of different companies and their stocks. It is certainly very difficult to choose specific stocks that are going to go up in value immensely in the years to come. The Walmart-like stocks are few and far between and taking them at their outset is almost impossible. This certainly does not mean that you should not try. Buying fundamentally sound stock market investments can be a goal and ticket to a fruitful financial future ahead.
The general policy framework of FDI on the African Continent has improved greatly in recent years, a trend that is continuing in many countries that were not in recent past or are not currently affected by wars. However, the environment for foreign investments protection in Africa is still inadequate to attract high quality and efficiency-seeking investments and the incentive framework continues to suffer from a number of deficiencies. Faced with increased international competition, foreign investors' global strategies seek to maximize their competitiveness by locating facilities in multiple locations around the world. In this "increasingly globalized" world, attracting foreign investment depends more on the ability to provide a favorable investment protection regime and competitive factors of production. The former requires a stable, efficient, and service-oriented environment that welcomes investors into most economic activities without discrimination. Modern legal and intellectual property rights, effective competition policies, a strong judiciary and minimum bureaucratic harassment are all important to attract foreign investors. The latter are the ultimate determinants of FDI. Competitive factors of production no longer mean just cheap raw labor and basic infrastructures. Today they require adaptable labor skills, sophisticated supplier networks and flexible institutions. Tax incentives can enhance a country's attractiveness but if other factors are unfavorable, they will be insufficient to significantly increase inflows of FDI.
With several insurers offering a variety of investment-linked insurance products, it is now possible for an insurance policy holder to enjoy protection and at the same time to invest solely in one fund or a combination of funds, subject to certain limitations, such as a minimum of 20% of his investment in each fund selected. An insurance policy holder may switch his investment between funds when his investment objectives change.
As an example, an Income Fund which is managed by a company's in-house fixed-income investment team comprising individuals with more than 20 years of experience in the financial sector. This fund is suitable for policy owners seeking stability of principal and a higher return compared to bank deposits but with acceptable risk to capital invested. The fund is principally invested in fixed-income securities, treasury products, money market instruments, collective investment schemes, and any other permissible instruments or investments prescribed by the relevant regulatory bodies to provide a steady return to policy owners through accumulation of capital over the long-term.
Without the existence of investment-linked products, one may disagree with the phrase and may not "buy term and invest the difference" but instead to take up a traditional participating life insurance product that provides life protection with an element for investment. The premium may be higher but it leads to wealth creation for the future.
Stock market investing is one of the fundamentals of value investing. By diversifying investments into the stock market it is possible to spread out investment funds into a wide variety of different companies and their stocks. It is certainly very difficult to choose specific stocks that are going to go up in value immensely in the years to come. The Walmart-like stocks are few and far between and taking them at their outset is almost impossible. This certainly does not mean that you should not try. Buying fundamentally sound stock market investments can be a goal and ticket to a fruitful financial future ahead.
The general policy framework of FDI on the African Continent has improved greatly in recent years, a trend that is continuing in many countries that were not in recent past or are not currently affected by wars. However, the environment for foreign investments protection in Africa is still inadequate to attract high quality and efficiency-seeking investments and the incentive framework continues to suffer from a number of deficiencies. Faced with increased international competition, foreign investors' global strategies seek to maximize their competitiveness by locating facilities in multiple locations around the world. In this "increasingly globalized" world, attracting foreign investment depends more on the ability to provide a favorable investment protection regime and competitive factors of production. The former requires a stable, efficient, and service-oriented environment that welcomes investors into most economic activities without discrimination. Modern legal and intellectual property rights, effective competition policies, a strong judiciary and minimum bureaucratic harassment are all important to attract foreign investors. The latter are the ultimate determinants of FDI. Competitive factors of production no longer mean just cheap raw labor and basic infrastructures. Today they require adaptable labor skills, sophisticated supplier networks and flexible institutions. Tax incentives can enhance a country's attractiveness but if other factors are unfavorable, they will be insufficient to significantly increase inflows of FDI.
With several insurers offering a variety of investment-linked insurance products, it is now possible for an insurance policy holder to enjoy protection and at the same time to invest solely in one fund or a combination of funds, subject to certain limitations, such as a minimum of 20% of his investment in each fund selected. An insurance policy holder may switch his investment between funds when his investment objectives change.
As an example, an Income Fund which is managed by a company's in-house fixed-income investment team comprising individuals with more than 20 years of experience in the financial sector. This fund is suitable for policy owners seeking stability of principal and a higher return compared to bank deposits but with acceptable risk to capital invested. The fund is principally invested in fixed-income securities, treasury products, money market instruments, collective investment schemes, and any other permissible instruments or investments prescribed by the relevant regulatory bodies to provide a steady return to policy owners through accumulation of capital over the long-term.
Without the existence of investment-linked products, one may disagree with the phrase and may not "buy term and invest the difference" but instead to take up a traditional participating life insurance product that provides life protection with an element for investment. The premium may be higher but it leads to wealth creation for the future.
About the Author:
Frank Miller has a Debt Consolidation Blog & Finance, these are some of the articles: The Benefits Of Gold IRA In Optimal Retirement Planning You have full permission to reprint this article provided this box is kept unchanged.
