No announcement yet.

Stock Markets/Investment/Finance/Banking

  • Filter
  • Time
  • Show
Clear All
new posts

  • Stock Markets/Investment/Finance/Banking

    We never talk about such a topic. I know a few of you here are into investing in shares and in other forms of investment. So come on, share your experiences, advice, knowledge.... we wanna raise awareness. We all know, nothing functions without finance, no market exists without investment.

    DriftingSands once went on about shares. Hows your investment going? I hear the Saudi market is suffering, 15% drop in value, bad news. And its rubbed off on the UAE market too.

    In comparison, the Real Estate markets have competed very well with stock markets, they are consistant, and investors know this, they like diversifying their investments' risk using Real Estate. Property will always rule, its a NEED.

    Investment in shares is good for the short term but very risky. With companies now becoming global, everything negative that happens in a branch abroad will reflect negatively on the overall performance of the firm. Also the performance of one company depends on the performance of another one in the same sector. Anyway, terrorism, oil, globalism, standardisation, ...all these affect markets and investment in one way or another.

    Can we look at the above from Algeria's perspective? Whats it like back home in terms of investment, what needs changing, what needs improving?


    [Edited by Khokom on 12th March 2006 at 05:31]

  • #2
    i am only familiar with the pharma business and it seems like African countries are way behind the other continents.
    concerning Algeria, there are different drawbacks which are contributing to this lack of "high risk, high return technology business" such as:
    1/although Algeria is trying to be capitalist, it is still not a PRODUCER. 99% of Algerian pharmaceuticals are formulated or produced in foreign countries (more specifically, France). although we have the only pharma manufacturer, the giant SAIDAL, but the company's only market advantage is that it is the eldest and the only company to have proper large scale, world-class validated manufacturing facilities. most of the other companies, are only start up companies which are having tremendous difficulties kicking up mainly because of two points: the government birocracy, and the competition with SAIDAL.
    2/as i mentioned earlier, administrative problems are huge, it is impossible to set up a technology business if the local authorities are not helpful. foreign investors do hesitate to penetrate the algerian market because they do not know to whom they are supposed to file for authorisation, to whom they will seek assistance, who is trustful and experienced enough to run their companies locally, and especially, where is their backup and guiding authority in our country. we do have regulatory authorities, and GSK is the 1st giant pharma company which has learnt how to deal with them so far
    3/Corruption: is the main issue for a venture capitalist. i had a long and pointless conversation with an investment analyst from Goldman Sachs who was insuring that there is no chance world class investment banks will look to Algeria with its current situation (political and economical)as corruption is at every stage of partnership. certainly, no matter how investment bankin giants are experience, they still struggle understanding the complexity of our investment initiatives (those strongly encouraged by Mr Boutef but which were never implemented in an organised mechanism)
    4/the Technology Transfer: who is transferring what to who. what is the return on investment for foreigners, and what is the benefits on our country and people. Algeria is a big market, yet, the world is a much bigger market! therefore, it is important to identify the skills within our country, who is the expert in pharmaceutical manufacturing, in drug formulation, in bioprocessing. what are the academic institutions ready to partner with the industry to exchange new R&D projects....etc

    basically, we need to see what we need, what we have to offer, who we want, what we want from them, how we will work with them. very basic business questions, which yet need to be answered quickly.
    Miss NinaGucci says: The Grass is Always Greener on The Other Side Of the Fence


    • #3
      The Saudi Prince Alwaleed bin Talal, one of the world's richest men, intervened yesterday to stem the plunge in the value of the country's stock exchange.

      Stock markets across the Gulf region have suffered sharp losses this week amid a deepening crisis of confidence after a three-year bull market.

      The Saudi bourse had lost a fifth of its value since Friday before yesterday's move, while the markets in Dubai, Abu Dhabi, Kuwait, Qatar and Bahrain have all lost ground....

      Saudi prince pledges £1.6bn to halt plunge in stock market


      • #4
        the middle east market just run ahead of itself and to extremely high pe,so the fall is very healthy for the future.but in general global economy is very positif and growing at steady pace ,unfortunately algeria still behind ,tunisia looks the best of all ,and algeria definitely is not attracting foreign investors except for the energy sector.


        • #5
          UAE, Saudi considering to move reserves out of dollar


          • #6
            Investment bank Bear Stearns has advised investors to start dumping airline and retail stocks in favour of blue-chip utilities as a hedge against bird flu, warning that a full human pandemic of the H5N1 virus could set off the worst global stock market crash since the 1930s....

            Bear Stearns warns against airline stocks due to 'imminent' bird flu


            • #7
              i don't see any crash or big correction in the states or europe there is enough momentum and most of the companies are buying back so expect more upside than downside just minor corrections nothing else imho.


              • #8
                Originally posted by NinaGucci

                concerning Algeria, there are different drawbacks which are contributing to this lack of "high risk, high return technology business" such as:
                You are talking about a business strategy which is called "High Risk High Return", Goldman Sachs uses this but a lot of other big Investment banks use other strategies.

                Even in the GOLF there is no major investment bank divisions for these fianntial services companies.
                All they do is set up their presence their in the form of marketing devisions, HR,...ect.

                I think Algerians should go a head and use the capital they have to start off some initially state owned investment banks, then they could open their shares to these companies (go public), or may be partner with them, which are seeking to gain more confidence in the inexistent algerian finantial market.