Kuwait - People looking for investment opportunities have another choice to add to their shopping list with the launch by Zumorroda Investment Company Tuesday, of the Zumorroda GCC Fund. The Fund, according to Zumorroda Investment Co Chairman Jassem Al Zainal seeks to grow its capital through investment in the securities of both listed and unlisted companies in the GCC stock markets; directly invest in GCC stock markets and in funds or investment portfolios traded in GCC stock markets, seeking to achieve excellent cash returns and capital gains that exceed the levels of returns in these markets, but within acceptable investment risk levels.
The Fund likewise will invest all available cash surplus in all money market instruments, he added. Al Zainal made the announcement during a press conference held at the Al Shamiya Ballroom of the Holiday Inn Downtown Hotel along with Nabil Behbehani, Vice-President, Asset Management, and Vice-President for Marketing & Client Relationship Shahnaz H. Qabazard. The Fund, which will be for a 10-year duration and which, has a variable or open-ended, capitalization ranging between KD 5 million to KD 100 million, will be open for subscription starting Dec 2, 2007 until Jan 10, 2008.
The Fund's investment units are nominal, with a per unit value of KD 1 (One Kuwaiti Dinar), with subscription restricted to Kuwaiti and GCC citizens, Arabs and foreigners -- resident and non-residents in Kuwait, Kuwaiti, GCC and foreign companies and institutions. The minimum limit for subscription to the Fund per investor is 1,000 (One thousand) investment units or KD 1,000 and its multiples, while the maximum number of units subscribed to may not exceed 50% (Fifty percent) of the total number of units in issue. Subscription to the Fund will only be either by drafts, cheques, wire transfer or account to account transfer. Shares of whatever type will not be accepted. Zumorroda Investment Company will act as the Fund Manager and Sales Agent while the Gulf Securities Custody Company is the investment custodian; the Central Bank of Kuwait is the Fund's supervisory body, and Bader & Co (Price Watrehouse Coopers) is the Fund auditor. As Fund Manager, Zumorroda Investment Company shall be the legal representative of the Fund in its relations with third parties, and shall have the right to sign on behalf of the Fund according to the rules based on its Articles of Association.
Gulf Securities Custody Company on the other hand, shall perform the function of investment custodian, responsible for ensuring that the Fund Manager manages the Fund's monies, in accordance with the law and its executive by-laws, the Fund's Articles of Association and instructions of the Supervisory Body. Nabil Behbehani, said that with a team of experienced professionals and backed by a selection of leading financial institutions in Kuwait and the GCC, the Zumorroda GCC Fund would be a wise and sound investment. He also explained that the Fund's launch aims to take advantage of attractive investment opportunities in the GCC citing a number of factors such as: competitive market valuations; high oil prices; low interest rates; a strong economic growth; and the rising flows from foreign investors. "We believe that we have time it right in entering the market at this point because of the rich investment potential in the GCC area," say VP for Marketing and Client Relationship Shahnaz Qabazard.
"And although we are small and relatively young -- having been established only two years ago -- compared to other established players in the market, we are part of big conglomerate under the Zumorroda Holding Co. and with that backing, we are confident of meeting our objectives," she added. Subscription application forms to the Zumorroda GCC Fund must be submitted with the required payment at: Zumorroda Investment Co, Sharq, Ahmed Al-Jaber Street, Dar Al Awadhi Complex, 6th floor, during business hours Sunday to Thursday from 9:00 am until 2:00 pm. Further information can be obtained from Tel 828288 ext 380. Payments, if by cheque, should only be in Kuwaiti Dinars cheques drawn on Kuwaiti banks will be accepted. If by fund transfer, it should be credited to Z-Invest's above mentioned account with Burgan Bank not later than 1:00 pm on Thursdays.
As such, applicants must ensure that drafts, cheques, wire transfer and account to account transfer are lodged with Zumorroda Investment Co within sufficient time for funds to be cleared no later than 1:00 pm on Thursdays. For corporate subscribers, an appropriate authorization documentation for the signatory, the corporation's Commercial Registration, Memorandum of Association, Articles of Association for Shareholding companies, and Articles of Association with the Amendments for Limited Liability Companies, must be attached along with the subscription form. Individual subscribers must attach a copy of their Civil ID, and subscribers accept to bear any expenses incurred from any possible refund of money to subscribers. Z-Invest reserves the right to reject any application not complying with the foregoing instructions.
© Arab Times 2007
