Muganda and wondeful people,
Have they commenced opening of CDS account in Uganda ?

Has Electronic trading commenced.?

Please let me know,
as I have a keen interest on the small Uganda bourse to complement my NSE investment. Good enough a lot of Nse stocks(EABL, KCB, EQUITY, JUBILEE,KQ) are cross listed there plus the promising DFCU and Stanbic Uganda.

When I was in Kampala in Dec 09, I visited D&B Uganda and Crane Stockbrokers located in Kampala road Uganda, they all said opening of CDS account has not commenced until Q1 2010.

Young
Nigeria

I was told ugandans dont posses identification cards, so i wanna know if they are using birth certificates in this exercise.

there are many other means of identifying a person that Uganda uses, such as driving permits, passports, or a letter from your Local Council. But, the national ID process is eventually starting, albeit with alot of resistance http://www.newvision.co.ug/D/8/12/715642

@Pkoli,

My interst in USE is to have exposure to Ugandan home bred companies bearing in mind most of my favourite highly capitaslized companies are made in Kenya companies (KQ,EABL,JHL,KCB,EB).
Since my investment objective is dividend yield, I have penciolled down companies that have issued dividends in the past 3 years even though they may not be as good as the big Kenya companies.

My line up of Uganda Counters in order of preference are on the basis of indication of economic boom in Uganda :-

Stanbic Uganda,
DFCU (Dev Finance Co Ltd),
Bank Of Baroda
New Vision Limited.

To complerment them is the following kenya big guys bearing in mind that all Kenya listed companies are big champions interms of market cap in Uganda and Tanzania :-
EABL (Known for interim and final dividend foreigners beloved counter).

JHL (Jubilee Holdings,a good exposure since it does not meet my criteria in NSE).

I am, adverse to airline counters as it can make or break you, I have enough of KCB,EB in NSE.


I hope this answers your question ?

@Pkoli,

Do not think bigger and more experienced KCB UG or EB UG will outperform the indegenous Ugandan banks in the near term. Logically you are right but the reality is that govt policies are always skewed towards favouring the local bank
The locals and govt agencies where the bulk of funds flow through always trust and prefer the home grown banks.
Be aware there are also other foreign banks in Uganda,like Bank of Africsa (From West Africa), united bank for africa (from Nigeria), Ecobank, Barclays etc. We are yet to witness the real growth phase of Uganda banks something similar to what happened in KCB Kenya between 1998 to 2007.

Even in Kenya over time ROI of local KCB has consistently outperformed Barclays or Stanchart both listed in Nairobi bourse.

In Ghana GCB (Ghana Commercial Bank) returns better than Stanchart.

In Nigeria here First Bank of Nigeria performs better than Stan Chart
.
I wish you all the best in Tanzania, as far as East Africa is concerned I am ok with Kenya / Uganda, but looking at Tanzania or upcoming Rwanda is a worthwhile venture for you because I believe you reside in Kenya or East Africa.
I rather plan to focus more in my neighbouring Ghana stock exchange. I have already been active on Ghana based well balanced equity fund products EPACK, MFUND and BFUND of databank group. www.databankgroup.com.
I will like to buy and position directly also on their local bourse as they have also started to open CDS accounts to prospective investors.

@Mzee Pkoli

To trade in Ghana Stock Exchange these are the

PAINS
You need to be physically present to fill forms to open a CDSC account with a strockbroker. At the moment share certificate are not yet fully immobilized but process will be completed in Sept.

GAINS
1.4 Ghc equals 1 US dollars so you have stronger currency advantage over KSh and you diversify your inv accross economies. Ghana economy is very promosing.Ghana is a new petroleum producer from Jan 2011 just like Uganda.

BANK PE
Average is 20. But GCB is 17 and standard charti 17. A smaller CAL bank is 6 !!!Yhere is also GGBL (Guiness Ghana Breweries) and HFC (Housing Finance with PEs of 17 and 20 respectively.


For more info vist
www.gse.com.gh
www.databankgroup.com (biggest stockbroking firm)

DIVIDENDS
If you travel there you can open Amal Bank Non Resident Account for your e=dividend (EFT in kenya)
www.amalbank.com.gh (check products and services)

NOTE:- Ignore Cal stockbrokers online account hype for non residents as it is not working well.