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ING launches new equity fund for Mena
Amid the continuing global financial crisis that threatens to become a worldwide recession and declining regional equities, ING Investment Management gave a vote of confidence to the fundamentals of the Middle East and North Africa by announcing the launch of its first equities fund on Monday.
- By Gaurav Ghose, Financial Features Editor
- Published: 00:11 November 11, 2008
Dubai: Amid the continuing global financial crisis that threatens to become a worldwide recession and declining regional equities, ING Investment Management gave a vote of confidence to the fundamentals of the Middle East and North Africa by announcing the launch of its first equities fund on Monday.
The ING (L) Invest Middle East and North Africa Fund will focus on the long-term growth opportunities in the emerging markets of the region.
It is an open-ended fund with daily liquidity, which means an investor can subscribe and enter the fund on a daily basis. Originally planned to be launched in September, it was postponed in the face of plummeting markets and the global liquidity crisis.
"The fund will invest in 12 equity markets of the Middle East. We still believe very strongly in the fundamental growth of these economies," said Farah Foustok, chief investment officer, ING Investment Management Middle East. "What happened in the market in the past two months has turned out to be very beneficial for us. I don't think anyone can predict the bottom of the market. Since we are long-term investors, we are entering at levels much lower than three months ago."
Access
Domiciled in Luxembourg and distributed as part of INGIM's extensive global network, the fund is accessible to corporate, institutional and high net worth individuals worldwide. It will open to investors on November 13 and the fund is expected to grow to $500 million over time as international investors increasingly re-weight portfolios towards the Middle East, according to a press release.
"There are more choices now," said Foustok. "In the Middle East specifically, if you look at the Saudi market, for instance, where you much more diversified sectors, you can play a much more defensive trade than maybe you would have three months ago."
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