Usually the best time to invest is when all the news is bad. Given the current situation in Iraq of escalating sectarian violence, one could assume that, that stage has now arrived, with the verdict on Saddam Hussein representing a turning point for the country.

The potential for iraq lies in its vast oil and gas wealth, coupled with an predominantly educated population and low starting GDP growth, with financial help and support from the worlds larges economy (USA), the scene is set for a long-term investment opportunity in Iraq.

However, the Iraqi Stock Exchange Index (ISX), has yet to make a bottom, as commercial activity continues to suffer, having declined by more than 60% over the last 12 months. So at this point in time, the situation is pretty tough, with no bottom in sight.

On the plus side, the Iraqi Parliament recently passed a new investment law which opens the Iraqi economy to investors globally. The new law provides foreign investors with adequate legal protection and with the ability to withdraw capital and profit. It also offers opportunities for significant exemptions from taxes and duties for 10 years+.

If investors still feel the urge to bottom pick, then the best way of investing in Iraq, is probably via a managed funds, such as Unit Trusts and Investment Trusts, or major oil companies that have a stake in the Iraqi oilfields.

Comments

Scott Gonzales
17 Feb 09, 19:23

Iraq Stock Exchange

Over the last 4 trading days ending with Tuesday Feb 17th, the Iraq Stock Exchange (ISX) Composite Index has increased from 69.672 -> 74.653 -> 79.304 -> 84.899. This is a 22% increase over 4 trading sessions. Hotels and Banks are leading the way.

I think the ISX is a great place to invest at this time. Risky but may be rewarding. You can see all of the ISX data and graphs or learn how to invest in the Iraq Stock Exchange at my website www.IraqStockX.com

Post Comment (Moderated)

Subject:

Name:

E-mail address (will not be published):

Comment:

Commenting Issue - If on submitting you are returned to the main Index Page (50% chance) then your comment has not been accepted, Follow below steps for 95% chance of comment being accepted.

Click your browser Back button (from main index page).
COPY your comment text from Comment box (i.e. copy to clipboard).
Press PAGE Refresh - You should see the message "You are not authorized to carry out this operation"
Paste your comment back into the comment text box.
Click Submit - If everything goes okay you will remain on the article page with the message "Your comment was held for moderation and will be reviewed shortly".
If instead you are again returned to the main index page then repeat 1-5, alternatively EMAIL to comments @ marketoracle.co.uk quoting the article number.

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2011 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.