The emerging markets infrastructure fund, smaller companies fund and latin America fund have been launched as sub-funds of the Swip Sicav, based in Luxembourg
The Swip Sicav emerging markets infrastructure fund, managed by investment director Divya Mathur, will focus investments on companies that will profit from the rise in infrastructure expenditures in developing nations.
The Swip Sicav emerging markets smaller companies fund, managed by investment director Alastair Reynolds, will seek to divert investments away from large, global trade companies, toward smaller companies in faster growing domestic markets. They will focus on opportunities created by the rising consumer classes.
The Swip Sicav Latin America fund, managed by investment director Jeff Casson, who managed the top earning Scottish Widows Latin America fund, will concentrate on investments within the Latin American region, especially Brazil. Swip believes this to be promising in the long term due to an expanding consumer base.
The new additions bring the number of Swip’s Sicav funds to four, since the introduction of their emerging markets fund in 2007.
Swip head of global emerging markets Kim Catechis says: “Although the emerging market equity universe will continue to see some volatility in the near term, we believe two strong trends – growth in infrastructure investing and the rapid expansion of the middle class – offer attractive opportunities for long term investors in these markets.”
Catechis says: “Government-backed infrastructure expenditure is forecast to be circa $12 trillion over the next decade. A rapidly expanding middle class also results in a rise in consumer spending in the region, benefiting companies targeting the domestic customer.”