1. Fund Management Group EMERGING MARKET SPECIALISTS China, India, Middle East, Africa, Russia Suitable for SIPP, SASS and Offshore Bond Investments October 2009 - Upwards Momentum continues! January 2009 Forecast for real GDP growth 2008 and 2009 (%) “ The Right Time To Invest – The Right Funds” Sources FMG, FT, Thomson Datastream, RBS, Goldman Sachs, Consensus Economics
2.
3.
4.
5.
6.
7.
8.
9. FMG’s Russia, India and China Sector allocations 8 China India Russia Rising 3 Country Split
10.
11.
12.
13.
14.
15. FMG Africa Fund FMG (EU) Africa Fund country and sector allocation Country Allocation Sector Allocation 14
16.
17.
18. Strong performance (Except 2008) Middle East & North Africa Fund China Fund Rising 3 Fund Note : In some cases, the results shown correspond to Pro-Forma figures, based on returns for the Fund’s managers net of relevant fees. Please refer to each fund monthly fact sheet for more information about performance and charges. Russia Fund India Fund Combo Fund 17
19. Strong performance (Except 2008) Russian Federation (Single Manager) Fund India Opportunity Fund Special Opportunity Fund Africa Fund Quoted Real Estate Companies: India China, Middle East Global Hedge Fund 18
20.
21.
22. For Further Information There are more detailed presentations on each fund, for Institutional B shares, (for more than £50,000) and Retail A shares (for less than £50,000), for each available currency, together with application forms for investment, on our website : www.fmgfunds.com click on ‘ Malta Funds ’. For investment application forms (once you have signed our Intermediary Agreement) click on ‘ for FMG REPs Only ’ And enter username ‘ fmgrep ’ and password ‘ fmgltd ’ FMG Eurasia Ltd Francis Salvesen Charlie Cantlie BSC (Econ) MBA MSI Director Investment Executive Tel: 0207 589 2135 Mob: 07951575364 Tel: 0207 581 3149 Fax: 0207 584 5484 Fax: 0207 584 5484 e-mail: francis@fmgfunds.com [email_address] This document has been approved by FMG Eurasia Limited, which is authorised and regulated by the Financial Services Authority. FMG Eurasia Ltd, Trafalgar House, 11 Waterloo Place, London SW1Y 4AU Disclaimer : This summary is for information purposes only and does not constitute an offer to sell or a solicitation to buy. Citizens or residents of the United States may not invest in these Funds. Opinions and estimates constitute the manager’s judgment and are subject to change without notice. Past performance is not indicative of future results. Investments in emerging markets should be considered high risk where a portion or total loss of capital is conceivable. No assurance can be given that the investment objective will be achieved or that an investor will receive a return of all or part of his/her initial capital, and investment results can fluctuate substantially over any given time period. Please refer to the Funds’ prospectuses which contains brief descriptions of certain risks associated with investing in the funds. Questions should be directed to your local representative or financial advisor. This document may not be reproduced, distributed, or published for any purpose without the prior written consent of the manager. 21
Notes de l'éditeur
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
India's bejewelled sparkle has dimmed in recent months. At its simplest level, the market was ripe for a setback, having appreciated sevenfold in four years. But unlike other markets, the implosion has been more domestic than credit-crunch led. The fundamentals of the macro-economy are significant: Continuing strong economic growth in excess of 8% p.a. Booming domestic consumption driven by the expanding middle class Massive infrastructure spending - £180bn of infrastructure investment has been targeted from 2007 to 2012 the Indian economy has grown from £16bn at the start of the 1980s to more than £500bn today and it is expected to double within the next seven years India has a minimal exposure to the US subprime mortgage and debt issues, and it is less sensitive to a slowdown in US growth than most other global markets, outside its technology sector. Looking ahead ten years or more, the demographics of a thriving young population of educated workers will make India relatively more attractive than other emerging markets. While India produces little in the way of commodities and has lagged China in attracting foreign investment, its companies embrace a variety of sectors, from IT, pharmaceuticals and general manufacturing to banks and property. Many of these companies are engaged primarily in selling to the large domestic market, where rising spending has enabled reinvestment - a virtuous circle only recently checked by escalating costs such as steep salary hikes for IT engineers. Most Indian enterprises have been around for a decade or two , and have learnt to confront and navigate a full business cycle. The best ones are naturally conservative. Maintaining cash flow and keeping debts low is second nature. We do not expect them to be blown off course now. Indeed, wiih relatively low levels of debt, the balance sheets of large Indian groups remain strong enough to continue to support acquisitions abroad. And some Indian companies look good value to buy into just now: companies such as Satyam Computer and Infosys are down about 5 and 10 per cent respectively from their peaks, and results for the quarter just ended were satisfactory. Quarterly pre-tax profits at Infosys and Satyam rose 24.6 per cent and 20.0 per cent respectively and both provided upbeat guidance for the year ahead. These companies represent the future for India. They are skill-based and globally competitive. Over the long term, programming the world's computers and networks will be much more value-accretive than, say, digging up iron ore and selling it. India will still remain a frustratingly volatile place for investors, as sensible policies one week are followed by emotional, knee-jerk decisions the next, so we need to take a longer term view. The higher oil prices have a significantly detrimental effect to the Indian economy, as India is a net importer of oil. This may shave 10% off GDP. Along the way, India needs to open up market economics and remove layers of socialist policy. Overall, after significant falls in share prices and with an election due within a year, we feel it is a good time to invest. www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
www.fmgfunds.com
FMG Funds are all auditted by KPMG www.fmgfunds.com
![Upward momentum continues ,[object Object],[object Object],[object Object],[object Object],[object Object],1](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)