For sophisticated international investors, Yiannis Mostrous, editor of The Silk Road Investor, finds a play on gaming in Cambodia, which he cautions is a "truly frontier market."

"Naga Corporation (HK: 3918, OTC: NGCRF) operates the only licensed casino in Phnom Penh. 

"The license is valid for 70 years from Jan. 2, 1995, and is exclusive (except for slot machines) within a designated area until 2035.

"Construction continues on NagaWorld, Cambodia's only integrated entertainment-casino complex. Upon completion, the complex will include 700 hotel rooms, 300 gaming tables and a conference facility. 

"The casino will also have 1,000 slot machines by 2010. In December 2008, over 200 hotel rooms were in operation along with 176 gaming tables. The project should be completed by year-end.

"Naga is still considered the 'poor man’s VIP' casino in Asia. VIPs pay a minimum check-in of only $5, 000, versus the $50,000 or more that VIP players must fork over in Macau.

"The company has some cost advantages versus its competition: gambling-license fees are $100 million versus $200 million for its Macau peers; an effective tax rate of 7% undercuts the 40% gaming tax in Macau.

"In addition, construction costs are a tenth of those in Macau. Also, labor costs per staff are only half, or in some cases even a third of those found in Macau.

"Naga operates in one of the truly frontier markets and should be viewed as a high-risk investment. It is also a play on Cambodian tourism, as the government has increased its efforts to publicize Phnom Penh’s growing roster of attractions."