Emirates NBD Asset Management announces dividends of 4 to 5 per cent for income range funds

Emirates NBD Asset Management Limited, the asset management arm of Emirates NBD Bank PJSC, today announced strong dividends to be distributed on its income range of funds for the first half of 2012.

The dividends approved by the boards of the Jersey-based funds cover the trading period from 1^st January 2012 to 30^th June 2012. They are as follows:

Emirates Mena Fixed Income Fund: 2.5% based on June 30^th 2012 NAV, annualized 5%.

Emirates Mena High Income Fund: 2.5% based on June 30^th 2012 NAV, annualized 5%.

Emirates Global Sukuk Fund: 2% based on June 30^th 2012 NAV, annualized 4%.

The year-to-date (YTD) total return for the Emirates Global Sukuk fund as at 9^th August 2012 stands at 7.42%, while the YTD total return for the Emirates Mena Fixed Income Fund 10.11%. The Emirates Mena High Income Fund has returned an equally strong 5.80%.

The positive performance of the open-ended fundsin a depressed global financial scenario, points to the expertise in fund management at the asset management division of Emirates NBD. The funds cover Islamic and regional debt instruments, as well as a high yielding equity-based product.

The performance of all three has been strong when compared to their peers over the first half of this year, with both the fixed and high income suites delivering significant capital growth. Overall, the annualised income distributions of the three funds for the first six months of 2012 were in the range of 4 to 5 per cent in US Dollar terms.

“The strong performance of our income range of funds is evidence of investor confidence both in the regional markets and in Emirates NBD’s asset management arm,” said Deon Vernooy, Head of Emirates NBD Asset Management. “Despite the down turn in the global financial scene, we have been able to consistently return high profits for our investors, as proven by the half-yearly dividend payout this year, which comes on the back of a similar performance in the first half of last year as well.

Emirates NBD Asset Management offers a range of conventional and Islamic products that offer exposure to regional and global markets. With over 50 financial specialists from 14 different countries, it forms one of the largest asset management firms in the region.

Emirates Global Sukuk Fund:

The Emirates Global Sukuk Fund is a US Dollar denominated, Sharia compliant open ended fund invests in a diversified portfolio of Sukuk issued by companies locally and globally. The primary investment objective of the Fund is to achieve high income as well as capital growth.

Emirates MENA Fixed Income Fund:

The Emirates MENA Fixed Income Fund is a US Dollar denominated open ended fund, which aims to achieve a high level of income as well as capital growth, predominantly through a diversified portfolio of MENA debt securities of varying maturities along with cash and other ancillary instruments.

Emirates MENA High Income Fund:

The Emirates MENA High Income Fund is an open ended fund which aims to provide a high level of income from a managed portfolio of MENA assets. The fund will primarily invest in equities, but also take exposure to other suitable asset classes such as fixed income instruments, deposits and ancillary assets. Income will be distributed on a semi-annual basis with a target rate of USD 3 month LIBOR plus 300-500bps.