OREANDA-NEWS. December 02, 2015. Qatar Investment Fund (QIF) offers exposure to growth in Qatar's diversifying economy, which is benefiting from prudently reinvested oil "super profits". Qatar is seeing above average GDP growth and its stock market has shown low correlation with the oil price. The fund seeks to capture the benefits of infrastructure investment, national development and diversification underpinned by wealth accumulated from hydrocarbon reserves. Prudence at national and fund level and the implicit government backing enjoyed by many of QIF's portfolio companies may make this an interesting fund for investors seeking capital growth and a yield of c 3%.
QIF is currently trading well below its three-year average discount to NAV (14.1%), at 3.2%, also below the average for EM investment trusts (9.5%). Qatar's growth prospects and relative stability, along with QIF's yield of just over 3%, suggest the narrower of the discount can be sustained.
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