Amwal launches QR 1 billion fund to tap into Qatar equities market surge
Amwal, Qatar’s leading investment company, has announced the launch of its potentially QAR 1 billion Qatar Gate Fund (QGF); the first ever fund established in Qatar. The new investment vehicle will focus primarily on the Doha Securities Market but will consider other GCC markets.
The open-ended equity fund is open to Qataris and non-Qataris through two separate sub funds. Class (Q) of QGF is open to Qatari nationals only. Class (N) of the Fund will be open to non-Qataris. Both sub funds have the same investment guidelines, risk parameters and investment manager.
The initial closing is twenty million Qatari Riyals (QAR 20,000,000) and up to a maximum capital of five hundred million Qatari Riyals (QAR 500,000,000) for each fund – a total of QAR 1 billion. The Fund's objective is to achieve above average long-term capital growth through investment in Qatari and Gulf securities listed or under listing on the Doha Securities Market and Gulf securities markets with the main focus on the Qatar market.
Sheikha Hanadi Nasser Bin Khaled Al Thani, Vice Chairperson and Managing Director of Amwal, said: “The launch of the Qatar Gate Fund is an important step for Amwal. It sees Amwal playing a vital role in allowing investors to participate in the success of the Qatar Economy and it’s growth potential. “It also marks the company’s emergence as one of the most significant players in the region’s equity markets, with the financial strength and dynamism to seek out and deliver value. The launch of QGF also reflects our commitment to the development and growth of the mutual funds industry in Qatar and our market-leading role in the sector”.
“The fund will focus on the Qatar market in order to reap the benefits of the country's booming economy and capitalise on the potential and promise of its emerging equities market.”
Sheikha Hanadi also said that despite the QGF’s clear focus on Qatar it would not invest exclusively in the domestic equities market. “The Fund will seek to invest in a diversified portfolio of Qatari and other GCC securities listed or under listing. QGF represents a unique opportunity for Qataris and non-Qataris to capitalise on local opportunities and pushes back the boundaries as Qatar extends its investment interests into new areas”.
”We have been working very closely and positively with Qatari regulators to establish the first fund in Qatar, and are very thankful for the cooperative spirit that we have experienced first hand,” Sheikha Hanadi further added.
Amwal’s partner in the venture is Shuaa Capital, the leading asset management company in the region. Shuaa will act as the Fund’s investment manager. The two institutions have previously cooperated on a number of ventures, including in launching and managing “Al Mahfatha” Portfolio with assets under management of (QAR 161,650,000). Al Mahfatha’s cumulative gains to June of this year, from its launch in 15/7/ 2003, were 201.5 per cent.
“We are delighted to be engaging in this new venture with Shuaa Capital as the investment manager, and HSBC Bank Middle East as the fund custodian,” Sheikha Hanadi said. ”The Fund will leverage Amwal’s market knowledge and know-how to create value and achieve the best possible results.”
Murad Mahmoud, General Manager of Amwal, said: “Expectations for Qatar and the region’s other economies are very promising. We are constantly searching for new investment opportunities to meet our customers' financial needs and we believe that with this new Fund we have created the ideal opportunity for them.
“We have closely followed the rapid growth of the regional economy and we are delighted that today we are able to offer our customers a chance to tap into this remarkable growth.”
The launch of QGF follows Amwal’s announcement last April that it would increase its authorised capital to QR 100 million.