Leading UAE Investment Bank, SHUAA Capital, has announced the launch of The Arab Income Fund (TAIF), a unique fixed income fund dedicated to the Arab World, which provides a liquid vehicle for investors wishing to benefit from the potential return of the Arab Fixed Income asset class.
Ziad Makkawi, Executive Managing Director. TAIF is an open-ended fund incorporated in the Cayman Islands, with monthly subscription and redemption. SHUAA Capital will be investing its own money in the Fund and its objective is to provide high total returns through investing primarily in US Dollar-denominated debt securities issued by governments of the Arab world.
The fund gives exposure to most Arab countries through one single liquid investment, provides professional investment process and active management; takes advantage of major price distortions; and provides effective diversification and low-to-negative correlation with other asset classes.
SHUAA Capital has employed a team of seasoned professionals, with extensive experience in both primary and secondary debt markets in the region. They have participated in over 12 Eurobond offerings as Lead, Joint Lead or Syndicate members for a total issue size of US$3 billion; and have been actively managing Arab Debt portfolios since the inception of this market in 1994, developing a strong track record in this particular asset class.
Commenting on the new fund, Ziad Makkawi, Executive Managing Director, said, 'The Arab Income Fund will contribute to the development of Arab Capital Markets. Although still relatively small, the Arab Debt Market is growing at twice the rate of other Emerging Markets. Moreover, this asset class has posted impressive returns in the last few years, in spite of major crises in the financial world.'
He added, 'SHUAA Capital is in a unique position to manage this fund, by being present in the area and employing a team of professionals with extensive experience in this asset class. In addition, SHUAA Capital has already developed its own equities indices across 12 Arab Capital Markets and is in the process of developing an Arab Bond Index.'
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About SHUAA Capital
SHUAA Capital was established in 1979, originally as an investment company to invest in, and promote investment into, the Arab World. It has since pursued its investment strategy by focusing initially on private equity investments and proprietary trading in Arab listed securities; and later on the UAE and GCC markets.
Moving forward with ambitious growth plans set in 1998, SHUAA Capital was licensed by the UAE Central Bank in 2000 to offer a broad range of financial services and products in the UAE. Those services include underwriting of securities and other corporate finance activities, investment advisory services, fund and portfolio management; and brokerage of local and international securities.
Formerly known by its acronyms AGICO and SHUAA, the company assumed a new identity in April 2001 to consolidate both names and to identify itself more closely as a regional provider of high-quality financial advisory and management services to private and institutional investors.
Access to real-time information, stock quotes of Arab securities and value-added proprietary indices are available via its website at www.shuaacapital.com.
Related Information
For further information please contact:
Issam J Azouri or Michelle Wittet
TRACCS,
PO Box 72583
505 Khalid Al Attar Tower
Sheikh Zayed Road,
Dubai
UAE
Tel: 00971 4 3316954
Fax: 00971 4 3316976
© Press Release 2003
