• About Nile
  • Overview
  • Our Core Values
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• Investing in Africa
  • Why Africa, Why Now?
  • Capital Flows and Remittances
  • Regional Profiles
• Nile Pan Africa Fund
  • Overview
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  • Historical NAV
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Capital Flows and Remittances

Private capital flows to Africa have increased significantly from less than $10 billion in 1998 to $50 billion in 2007.  According to our estimates, foreign direct investment, the biggest component of private capital flows, is projected to reach to a record $60 billion in 2011. 

Source: The World Bank Group, World Development Indicators

Remittances to Africa grew from $10 billion in 1998 to a record $36 billion in 2007.  According to the World Bank, remittances to Africa grew by 8% in 2008, and are expected to continue at a 5% growth rate going forward.  The growth in capital flows will lead to sustainable growth in GDP across many African economies.

Sources: The World Bank Group, World Development Indicators, Outlook for Remittance Flows 2008-2010, the World Bank defines Remittance as “private transfers from migrant workers… to recipients in their country of origin.”

© 2010 Nile Capital Management, LLC

Investors should carefully consider the investment objectives, risks, charges and expenses of the Nile Pan Africa Fund. This and other important information about the Fund is contained in the prospectus, which can be obtained by calling 1-877-68-AFRICA. The prospectus should be read carefully before investing. The Nile Pan Africa Fund is distributed by Northern Lights Distributors, LLC.

Mutual Funds involve risk, including possible loss of principal.  Because the Fund will invest the majority of its assets in African companies, it is highly dependent on the state of the African economy and the financial prospects of specific African companies.  Certain African markets are in only the earliest stages of development and may experience political and economic instability, capital market restrictions, unstable governments, weaker economies and less developed legal systems with fewer security holder rights.  Adverse changes in currency exchange rates may erode or reverse any potential gains from the Fund’s investments.  ETF’s are subject to specific risks, depending on the nature of the underlying strategy of the fund. These risks could include liquidity risk, sector risk, as well as risks associated with fixed income securities, real estate investments, and commodities, to name a few.  Non-diversification risk, as the Funds are more vulnerable to events affecting a single issuer.  Investments in underlying funds that own small and mid-capitalization companies may be more vulnerable than larger, more established organizations. The Fund’s exposure to companies primarily engaged in the natural resource markets may subject the Fund to greater volatility than investments in a wider variety of industries.  There is a risk that issuers and counterparties will not make payments on securities and other investments held by the Fund, resulting in losses to the Fund. In general, the price of a fixed income security falls when interest rates rise. The Fund may invest, directly or indirectly, in "junk bonds.”  Such securities are speculative investments that carry greater risks than higher quality debt securities.

0605-NLD-4/28/2010