Blom Arab Markets Balanced Fund - BLOMINVEST Saudi Arabia
Blom Arab Markets Balanced Fund 2017 Interim Fund Report
Fund Manager
BLOMINVEST Saudi Arabia, with its registered office at Al Oula Building, 3rd floor, King Fahad Road, Riyadh, P.O. Box 8151, Riyadh 11482, Saudi Arabia.
Names and addresses of sub-manager and/or investment adviser
The Fund Manager did not appoint a sub-manager or investment advisor
Investment activities during the period
The GCC equity market ended the period mixed but generally flat (between -2 and +2%), having witnessed muted overall volatility until the month of the June. June was quite eventful however, the Saudi lead coalition standoff with Qatar coupled with oil reaching its lowest YTD levels during the first half of the month exerted pressure on regional markets – however the market reversed positively on news of MSCI placing KSA on EM Watch list coinciding with the appointment of HRH Mohammed Bin Salman as crown prince, along with oil bottoming out. The manager has maintained a relatively stable allocation throughout this period, reducing exposure to Qatar and deploying the proceeds in Kuwait. On the fixed income side, the SP Mena Sukuk and Bond Index improved by about 3.3%. During the period, Swap rates have improved by an average of 50bps across the curve in both Saudi and UAE; the situation was however reversed in Qatar with the front end of the curve rising substantially. The funds allocation to Sukuk was slightly reduced towards the end of the period. The fund’s overall performance was negative 1.4% during the first half of the year vs a positive 1.9% for the funds benchmark.
Investment fund’s performance during the period 1070 1050
NAV
Benchmark
1030 1010 990 970 950
Details of any material changes made during the period
No material changes took place during the period
Investment fund invests substantially in other investment funds
Throughout the year the Fund held an average of 4.8% in the Blom Money Market USD Fund. The expense ratio of the fund amounts to 65 bps. The Fund has also had an average exposure of 3.4% to the Ashmore Saudi private placement fund. Blom Arab Markets Balanced Fund paid an average of 4 bps in management fees for all the previously mentioned funds.
Fund Manager
BLOMINVEST Saudi Arabia, with its registered office at Al Oula Building, 3rd floor, King Fahad Road, Riyadh, P.O. Box 8151, Riyadh 11482, Saudi Arabia.
Names and addresses of sub-manager and/or investment adviser
The Fund Manager did not appoint a sub-manager or investment advisor
Investment activities during the period
The GCC equity market ended the period mixed but generally flat (between -2 and +2%), having witnessed muted overall volatility until the month of the June. June was quite eventful however, the Saudi lead coalition standoff with Qatar coupled with oil reaching its lowest YTD levels during the first half of the month exerted pressure on regional markets – however the market reversed positively on news of MSCI placing KSA on EM Watch list coinciding with the appointment of HRH Mohammed Bin Salman as crown prince, along with oil bottoming out. The manager has maintained a relatively stable allocation throughout this period, reducing exposure to Qatar and deploying the proceeds in Kuwait. On the fixed income side, the SP Mena Sukuk and Bond Index improved by about 3.3%. During the period, Swap rates have improved by an average of 50bps across the curve in both Saudi and UAE; the situation was however reversed in Qatar with the front end of the curve rising substantially. The funds allocation to Sukuk was slightly reduced towards the end of the period. The fund’s overall performance was negative 1.4% during the first half of the year vs a positive 1.9% for the funds benchmark.
Investment fund’s performance during the period 1070 1050
NAV
Benchmark
1030 1010 990 970 950
Details of any material changes made during the period
No material changes took place during the period
Investment fund invests substantially in other investment funds
Throughout the year the Fund held an average of 4.8% in the Blom Money Market USD Fund. The expense ratio of the fund amounts to 65 bps. The Fund has also had an average exposure of 3.4% to the Ashmore Saudi private placement fund. Blom Arab Markets Balanced Fund paid an average of 4 bps in management fees for all the previously mentioned funds.
