Mongolian equities: “Ulan Qatar”?

Courtesy of The Financial Times, a report on the continued rise of Mongolia’s stock market:

“…Mongolian equities were the world’s best performing last year, gaining an eye-watering 140 per cent in dollar terms. It is, it seems, the place to buy into China’s booming demand for commodities – mainly coal – and has investment bankers literally slugging it out for a piece of the business.

If 2010 was the year when equities on the exchange in Ulan Bator, the capital, skyrocketed, then 2011 looks like the year they went into orbit.

Here’s what the MSE20 (read Leslie Hook’s account of the Mongolian boom here) has done since the start of 2010 (FYI: it’s up 370 per cent). This year it’s already up over 100 per cent again, and almost 300 per cent in local currency. You have to wonder whether, with Mongolia’s citizens entitled to share of any state-owned assets listed on the exchange, the country’s 2.7m people may one day enjoy GDP per capita akin to Abu Dhabi or Qatar.

This entry was posted on Friday, February 18th, 2011 at 2:34 am and is filed under Mongolia.  You can follow any responses to this entry through the RSS 2.0 feed.  Both comments and pings are currently closed. 

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Wildcats & Black Sheep is a personal interest blog dedicated to the identification and evaluation of maverick investment opportunities arising in frontier - and, what some may consider to be, “rogue” or “black sheep” - markets around the world.

Focusing primarily on The New Seven Sisters - the largely state owned petroleum companies from the emerging world that have become key players in the oil & gas industry as identified by Carola Hoyos, Chief Energy Correspondent for The Financial Times - but spanning other nascent opportunities around the globe that may hold potential in the years ahead, Wildcats & Black Sheep is a place for the adventurous to contemplate & evaluate the emerging markets of tomorrow.