Global Capital Investments, of Illinois, has created a private investment fund for sophisticated investors who wish to invest in the long-term growth potential of the emerging Iraqi economy.
The objective of the fund is to seek long-term capital appreciation over a broad range of Iraqi listed securities, a small number of private investments and Iraqi dependent equities which trade internationally.
The company sasy that investment in the Iraq Fund "will allow investors a transparent and efficient way to speculate on the emerging economic growth of a country rich in resources and culture ... investment in the Iraq Fund should be viewed as a long-term investment".
The Iraq Fund will invest primarily in listed equities of the Iraq Stock Exchange (ISX), but also have the flexibility to invest in a limited number of private investment opportunities which focus on the nation’s industry, infrastructure, natural resources, agriculture, banking industry, and hotel and tourism.
The fund will position its investment in Iraq to take advantage of the post-war re-building of infrastructure with special emphasis given to the nation’s proven, but undeveloped oil reserves.
The fund holds the right to invest up to 100% of it’s portfolio assets in equities listed on the ISX but also has the ability to invest no more than 20% of its assets in less liquid, private companies as well as related companies which trade internationally.
It will "demand transparency of its holdings and rely on local experts and the managing directors own macro-economic views of the Iraqi economy in making investment decisions".