Skip to comments.Seeking cheap stocks, chaos no problem? Try Libya
Posted on 02/23/2014 6:04:49 AM PST by Pan_Yan
TRIPOLI (Reuters) - Investing in Libyan stocks may sound like an absurd idea at a time when the North African country is descending into chaos and armed militias seize oil ports or ministries at will.
A recent sell-off has made Libyan stocks cheaper than other regional bourses. Major banks were once worth as much as 25 Libyan dinars ($20) a share, but now cost less than 10.
Still, even bourse officials admit that it will be hard to sell a country making headlines with political infighting, shootings and hardline Islamists roaming the streets.
The Libyan bourse is tiny even by regional standards with a market value of around $3 billion, compared with its Cairo counterpart's $70 billion and Casablanca's $50 billion.
In the Arab world, only the Khartoum and Damascus stock exchanges are smaller. Libya has only 11 stocks, two fewer than in the Gaddafi era, mostly banks and insurance companies.
(Excerpt) Read more at chicagotribune.com ...
But on the other hand is keeping my money in a 401k that owns GM, GE, and Bank of America stocks that much better? Is the Libyan government really that much more likely to seize my savings that the US government?
11 stocks?? What is the volume of its busiest day — 20?
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