Arqaam to launch new value fund for Mena stocks

Arqaam Capital Asset Management launches a follow-up to its existing hedged product focusing on the Middle East and North Africa.

If you are looking for access into Mena (Middle East and North Africa) mid- and small-cap equities and think that now is a good time to go long, Arqaam Capital Asset Management is poised to launch a new long-only ‘Value Fund’.

The new fund will combine deep value principles with top-down valuation analysis to try to find the best investments within the Mena region.

The Arqaam Value Fund will offer quarterly liquidity, and may invest in lesser liquidity stocks. Management and performance fees are 1.1/2% and 20% over a 10% hurdle. The intention is to launch at $50 million in size.

Arqaam opened its doors in October 2009, led by Dr Amin El-Kholy, who has 14 years of Mena investment experience.

Its first fund, the $30 million Arqaam Alpha Fund, launched in December 2009. That is a Mena long/short equity fund, and its objective is to seek capital appreciation for investors by primarily, but not exclusively, investing in equity securities of publicly listed and private companies whose principal business activities lie within the Mena Region.

After the value fund is up and running, the next Arqaam product offering will be a Mena quantitative fund. This will combine fundamental factor analysis plus quantitative methodology.

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