Dubai's Dalma launches first DIFC fund focused on Saudi bourse

New fund aims to generate medium to long term capital appreciation and to maximise total return relative to the TASI index
By Sam Bridge
Sat 26 May 2018 12:06 AM

Dubai-based Dalma Capital has announced the launch of Quencia Saudi Equity Open Ended PC, the first DIFC-domiciled fund focused on investing in the Saudi Stock Exchange, better known as Tadawul.

The fund aims to generate medium to long term capital appreciation and to maximise total return relative to the TASI index.

Dalma said the fund’s seed capital of SR100 million ($26.6 million) is a reflection of "investors’ confidence in the fund’s team and structure".

It is managed by a team with more than 25 years of collective Saudi market experience led by Majed Kabbara, a portfolio manager who said: “We are pleased to be launching the DIFC’s first Saudi equity fund. The launch is coming at a very interesting time for the Saudi market as the country is witnessing a major economic and social transformation and its market is being upgraded to Emerging Market status by the top global index providers.

"We believe the upgrade offers eligible investors a unique short-term investment opportunity while the transformation as part of the country’s Vision 2030 provides an attractive medium to long term opportunity.”

Zachary Cefaratti, CEO, Dalma Capital, added: “We are well positioned to capture the one-off opportunity presented by the largest remaining market to achieve EM index inclusion, which may result in around $50 billion of foreign inflows into Saudi equities."

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Last Updated: Sat 26 May 2018 12:10 AM GST

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