‘Troika Dialog – BRIC’ Fund Delivers Emerging Markets Growth
OREANDA-NEWS. October 08, 2010. CJSC Troika Dialog Asset Management reports the launch of open-ended mixed fund "Troika Dialog – BRIC." Shares in the fund will be available for purchase beginning on October 8, 2010. The fund will invest in assets on markets in Brazil, India, China and Russia – the world's most promising and dynamically growing markets.
The investment strategy of open-ended mutual fund "Troika Dialog – BRIC" targets long-term capital appreciation through building a portfolio of shares in liquid and major companies in India, China and Brazil, global exchange traded funds on the above countries and Russian securities. Included in the Russian assets are both ADRs and GDRs on shares in companies whose core businesses are in the Russian Federation. Therefore, Russian investors are not only able to diversify according to asset type and sector, but also according to country and geography.
The potential for economic growth in China, Brazil, India and Russia ranks atop the world. Over the past ten years, the BRIC countries have accounted for 36% of world economic growth. The share of these countries in world GDP totals 25%. According to experts' forecasts, by 2018 the aggregate volume of the four economies will exceed that of the U.S., and by 2050 – the G7. According to Oleg Larichev, Investment Manager at Troika Dialog Asset Management, "Open-ended mixed fund "Troika Dialog – BRIC" provides investors with the opportunity to participate in the growth of all the BRIC countries. The indicative structure of the fund's portfolio will depend upon the valuation of economic prospects in the regions. Russian assets could account for 30-35% of the portfolio, with China, India and Brazil accounting for 10-35% each. Within each foreign country segment, 70-100% of investments will consist of corresponding ETFs and up to 30% equities."
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