MARKAZ SECTOR REPORT GCC ASSET MANAGEMENT - 2011

Summary Version: For Full Report, please contact Jenevivu Lasrado at: JLasrado@markaz.com Disclaimer This report has been prepared and issued by Kuwait Financial Centre S.A.K (Markaz), which is regulated by the Central Bank of Kuwait. The report is owned by Markaz and is privileged and proprietary and is subject to copyrights. Sale of any copies of this report is strictly prohibited. This report cannot be quoted without the prior written consent of Markaz. Any user after obtaining Markaz permission to use this report must clearly mention the source as “Markaz “. The report is intended to be circulated for general information only and should not to be construed as an offer to buy or sell or a solicitation of an offer to buy or sell any financial instruments or to participate in any particular trading strategy in any jurisdiction. 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R E S E A R C H Table of Contents Executive Summary..........................................................................................4 Market Structure ............................................................................................................... 4 Leadership Position ........................................................................................................... 5 Performance..................................................................................................................... 6 Cost................................................................................................................................. 9 Benchmarks.....................................................................................................................10 Domicile..........................................................................................................................12 Managed Assets...............................................................................................................13 GCC / MENA Funds..........................................................................................15 Equity Funds....................................................................................................................16 Fixed Income Funds .........................................................................................................19 Money Market Funds ........................................................................................................21 Specialized Funds.............................................................................................................24 Saudi Arabian Funds.......................................................................................26 Equity Funds....................................................................................................................27 Fixed Income Funds .........................................................................................................30 Money Market Funds ........................................................................................................31 Specialized Funds.............................................................................................................35 Kuwait Funds..................................................................................................36 Equity Funds....................................................................................................................37 Fixed Income Funds .........................................................................................................40 Money Market Funds ........................................................................................................41 Specialized Funds.............................................................................................................44 UAE Funds.......................................................................................................45 Equity Funds....................................................................................................................46 Money Market Funds ........................................................................................................49 Qatar Funds ....................................................................................................51 Equity Funds....................................................................................................................52 Oman Funds....................................................................................................55 Equity Funds....................................................................................................................56 Bahrain Funds................................................................................................. 58 Equity Funds...................................................................................................................58 Challenges.......................................................................................................60 Appendices......................................................................................................65 Appendix 1: GCC Asset Management Industry - Geographic Classification / Asset Class wise – 1Q11 ..............................................................................................................................65 Appendix 2: GCC / MENA Funds Statistics – 1Q11................................................................66 Appendix 3: Saudi Funds Statistics – 1Q11..........................................................................72 Appendix 4: Kuwait Funds Statistics – 1Q11........................................................................77 Appendix 5: UAE Funds Statistics – 1Q11............................................................................80 Appendix 6: Qatar Funds Statistics – 1Q11..........................................................................82 Appendix 7: Oman Funds Statistics – 1Q11 .........................................................................83 Appendix 8: Bahrain Funds Statistics – 1Q11.......................................................................84 Appendix 9: Consolidated Fund Manager Ranking – 1Q11.....................................................85 Appendix 10: Consolidated Fund Manager Ranking – Equities – 1Q11 ....................................86 Kuwait Financial Centre “Markaz” 2 R E S E A R C H Appendix 11: Fund Rankings (by Quarterly Alpha) – 1Q11....................................................87 Appendix 12: Benchmark Details........................................................................................89 Appendix 13: AUM Drill Down – Asset Class wise – 1Q11......................................................90 Appendix 14: AUM Drill Down – Country wise – 1Q11...........................................................91 Kuwait Financial Centre “Markaz” 3 R E S E A R C H GCC Asset Management - 2011 Executive Summary Market Structure Markaz Research is available on Bloomberg Type “MRKZ” Thomson Financial Reuters Knowledge Zawya Investor Noozz GCC Asset Management Industry, with roughly 100 asset management companies, manages USD 28.9bn1 in assets in about 325 funds as of 31st March 2011. Geographically, Saudi Arabia country funds account for 62% of the total, followed by Kuwait country funds with 19% share and GCC / MENA mandated funds with 15% share. In terms of products, Money Market funds lead the pack with a 50% share, followed by Equities at 44% while the remainder is in Fixed Income and Specialized funds. Of the total, Islamic funds manage USD 17.6bn (61%) in assets. Figure 1: GCC Asset Management Industry – AUMs (1Q11) M.R. Raghu CFA, FRM Head of Research +965 2224 8280 rmandagolathur@markaz.com Layla Jasem Al-Ammar Assistant Manager +965 2224 8000 ext. 1205 LAmmar@markaz.com Madhu Soothanan Senior Research Analyst +965 2224 8000 ext. 4603 msoothanan@markaz.com Kuwait Financial Centre “Markaz” P.O. Box 23444, Safat 13095, Kuwait Tel: +965 2224 8000 Fax: +965 2242 5828 markaz.com Source: Zawya & Markaz Research In terms of number of funds, GCC / MENA mandated funds top the table with 131 funds (40%), followed by Saudi Arabia country funds with 109 funds (34%) and Kuwait country funds with 51 funds (16%). Product wise, there are 200 Equity funds, 60 Money Market funds, 21 Fixed Income funds and 44 Specialized funds. Contrary to assets under management, there are more Conventional funds (176 funds) than Islamic funds (149 funds). Figure 2: GCC Asset Management Industry – Number of Funds (1Q11) Source: Zawya & Markaz Research 1 Throughout this report, assets under management refers only to mutual fund assets unless mentioned explicitly Kuwait Financial Centre “Markaz” 4 ... - tailieumienphi.vn