Luminet Capital Management Launches Pioneering UAE Yield Fund

Luminet Capital Management Launches Pioneering UAE Yield Fund

By Staff Writer, 19 March 2024

Luminet Capital Management Limited, a licensed investment manager under the Financial Services Regulatory Authority of Abu Dhabi Global Market and a subsidiary of Luminet Holdings Restricted Limited, has introduced the Chimera GB Morgan UAE Yield Estes Traded Fund, marking a significant milestone in the regional financial landscape.

This pioneering fund, the first of its kind in both the UAE and the wider region, is slated for listing on the Abu Dhabi Securities Exchange. It is designed to mirror the performance of the GB Morgan MSCI UAE Investment Grade Index and comprises a selection of UAE-denominated bonds that are highly liquid as well as US dollar-denominated.

Among its assets are bonds issued by sovereign, quasi-sovereign, and corporate entities within the United Arab Emirates, all boasting investment-grade ratings and issuance amounts not less than $500 million. Such a diversified portfolio presents lucrative investment prospects within the UAE bond market.

Scheduled for listing on March 26, the fund is fully compliant with the "UCITS" regulations, including stringent portfolio diversification mandates.

Abdullah Salem Al Nuaimi, CEO of the Abu Dhabi Securities Exchange, emphasized that this fund represents a holistic investment avenue with minimal risks and assured returns, thereby augmenting investors' engagement in the UAE's economic development.

Sherif Salem, Partner and Director of Public Markets Management at Luminet, elucidated that the fund unlocks exceptional investment opportunities within the UAE while offering liquidity and diversified investment avenues, thereby fostering the growth and diversification of the local economy.

Source: EntArabi

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