European Investors to gain access to MENA equity markets through
The Mashreq Arab Tigers Fund
Dubai, United Arab Emirates, 25 August 2008: Mashreqbank, one of the UAE’s leading financial institutions, has launched the Mashreq Arab Tigers Fund, which is domiciled in Ireland and listed on the Irish Stock exchange. The Fund has been authorised as an Undertaking for Collective Investment in Transferable Securities (UCITS) by the Irish Financial Regulator under the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2003 as amended.
The move allows European investors access to the dynamic and growing MENA equity markets through an experienced, on the ground regional institution.
Operating under the EU Union directive of UCITS, the fund is domiciled in Ireland and available to investors across the European Union. As a collective investment vehicle it offers access to securities of blue chip companies listed on the stock exchanges of the Middle East and North Africa (MENA) region. The Fund is denominated in US dollars and seeks to achieve long-term capital appreciation.
“At Mashreq Asset Management we endeavor to follow best practices as far as regulatory environments are concerned which was our rationale for domiciling the fund in Ireland,” commented Imran Ahmed, Managing Director, Mashreq Asset Management. “The MENA economies are the fastest growing economies in the world today and it is essential that as investment managers we open up our funds to foreign investment.”
The Irish Mashreq Arab Tigers Fund will build upon the track record of Mashreq Asset Management’s existing Makaseb Arab Tigers Fund (MATF) which is the flagship fund of Mashreq Asset Management. Since its inception in November 2005, the MATF has outperformed its benchmark MSCI ARABIAN Index by 38%. Year to date performance of the fund is 8% higher than the benchmark. The MATF portfolio is constructed after careful evaluation of various factors including the liquidity of the stock, company fundamentals, profitability, and overall portfolio risk considerations. Standard and Poor’s, one of the world's foremost providers of independent credit and fund ratings awarded the MATF fund an ‘AA’ high quality rating.
“At Mashreq Asset Management we work to consistently exploit opportunities in the market in order to offer world-class banking services that exceed our customers' needs and expectations. Our funds operate on a highly disciplined investment process that adopts a multi-factoral approach, including fundamental research and company visits. We intend to protect our competitive position in the market and to continue growing along with the economy, focusing on the superior and consistent performance of our funds. This is reflected in the performance of our Funds, including the MATF” concluded Ahmed.
The fund requires a minimum investment of $1,000 and subscriptions and redemptions take place on each business day.
Mashreq is the largest private bank in the UAE and also the second oldest. Founded in 1967 as Bank of Oman, the bank has played a pioneering role in the industry, particularly in retail banking. Among its many firsts it was the first to launch such products as travelers’ cheques, credit cards and ATMs.
It is invariably among the highest performing banks in the region. Last year it recorded a Net Profit of over US$470 million from a Total Operating Income of $844 million. At the end of last year its Total Assets stood at $15.2 billion.
Mashreq has received numerous international awards, particularly for quality management. According to independent research it has more ISO certifications than any bank in the region by a wide margin.
As a leading financial Institution in the UAE Mashreq aims to be world class in every facet of its business, including its social responsibility to the community it serves. Towards this goal the bank pays particular attention to recruiting, training, developing and retaining UAE National employees.
About Mashreq Arab Tigers Fund
Mashreq Funds plc is the umbrella Fund Company for the Mashreq Arab Tigers Fund. The investment manager of the Mashreq Arab Tigers Fund is Mashreq Capital (DIFC) Limited, a wholly owned subsidiary of Mashreqbank psc. BNP Paribas Fund Services Dublin Limited, is its Administrator. The custodial responsibilities have been delegated to BNP Paribas Securities Services Dublin Branch. International accountancy firm Deloitte & Touche is the auditor and Matsack Trust Limited is its Registrar. The legal counsel of the Funds Company is Matheson Ormsby Prentice.
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