The Russia Equities Fund and Russia Fixed Income Fund are the second and third fund launches for the asset manager this year, after having launched the Emerging Europe Equities Fund in January earlier this year.
The Russia Equities Fund invests in non-commodity sectors in Russia and CIS. It focuses on undervalued and liquid equity securities, using the MSCI Russia 10/40 Net TR USD as its index.
The Russia Fixed Income Fund invests in sovereign and corporate fixed income instruments using the Euro-Cbonds IG 3Y as its benchmark. It is denominated in dollar, rouble and other currencies.
The three funds were launched with a combined initial investment of $45m.
“With the significant valuation discount in the Russian market, we believe that now is the right time to launch new products and we are confident that they will both prove to be successful investments,” CEO Aylin Suntay said.
She added that the company is planning to invest a further $45m in the fund during the second quarter this year.
