NBAD equity fund growth tops $272m
Abu Dhabi, March 31, 2014
The National Bank of Abu Dhabi’s NBAD Mena Dividend Leader Fund (MDL) has grown to more than Dh1 billion ($272 million) and become the region’s largest equity fund in less than a year from its launch, said a top official.
“This is a major achievement for both NBAD and the UAE as it puts the UAE asset management industry firmly on the map,” said Mark Watts, chief investment officer and the managing director of NBAD’s Asset Management Group.
“This represents a resounding vote of confidence in our array of products, and the Mena Dividend Leader Fund in particular. Client interest remains very high and continues to attract third party distribution platforms.”
MDL invests in an array of stocks and equities across markets and exchanges. The fund aims to provide its clients with a regular income stream with relatively lower volatility. MDL Fund is UCITS compliant and follows stringent risk spreading rules.
“We anticipate continued good returns for the Mena markets in 2014,” said Saleem Khokhar, head of Equities NBAD’s Asset Management Group.
“A number of positive catalysts are driving the Mena region including low levels of debt, strong and stable currencies, robust and improving growth rates, high rates of infrastructure spending and a young demographic. From June onwards, the UAE and Qatar will be classified as Emerging Markets attracting international investor interest from across the globe.”
NBAD’s Mena Dividend Leader Fund, launched in 2013, returned 37.1 per cent since inception and beating the S&P Pan Arab benchmark by 5.5 per cent. The Fund paid its first distribution in September 2013 with a 6.3 per cent annualised yield.
The Fund’s strategy to invest in fundamentally strong Mena blue chip stocks with sustainable cash flow, attractive dividend yield and capital growth potential continues to provide rich yield for investors. – TradeArabia News Service