EM fund managers of 2010: the African | beyondbrics | News and views on emerging markets from the Financial Times – FT.com

The FT is publishing rankings of emerging market fund performance prepared by Lipper, the funds research company. Here is the third profile of a top performing fund.

For Roelof Horne, the current unrest in Ivory Coast is a reminder of the political risks of investing in parts of Africa. “Are we worried about it? Absolutely – one of the reasons for the recent economic progress in Africa has been the spread of democracy,” he says. Yet as the manager of Investec’s Africa Fund, Horne is convinced that there are lucrative opportunities on the continent for those who know where to look.

With nearly R5bn ($730m) under management, the fund spans ten countries ranging from Ghana to Mauritius, but has over 60 per cent of investments concentrated in just two: Egypt and Nigeria. “Those two markets right now give us the best combination of good quality companies, very well priced,” Horne says. “Nigeria is looking very cheap given its growth prospects; Egypt is not as cheap but clearly undervalued, and it’s a sophisticated market with a good history of entrepreneurism.”