Next stop for Alternative Investing - Hedge funds
Next stop for alternative investing - Iraq
2007/02/12
Hedge funds seem determined to scour every inch of the globe in their quest to generate returns - Iran, Cuba, and now Iraq.
Bjorn Englund, who launched his itsy bitsy $9m Babylon Fund last September to focus on Iraq, lists fraud and corruption, illiquid markets and the potential for a drop in oil prices, as dangers facing investors in the country. Despite that, his flagship investor is a Scandinavian pension fund - and 95 per cent of his money comes from institutions.
FinAlternatives reports that Babylon, which is domiciled in the British Virgin Islands, is structured as an open-ended mutual fund, but has the look and feel of a hedge fund. It charges a ‘2 and 20′ performance fee, offers quarterly redemptions, has a $100,000 minimum investment and is open only to “qualified purchasers”. It is also aiming for a return of 30 per cent on average over a five to seven year business cycle.
Foreign investors are not yet allowed to trade on the Iraq Stock Exchange - making presence on the ground essential. Bablyon’s office is outside the heavily fortified ‘green zone’ but is, says Englund, in a “fairly stable” area of the city.
The exchange is open for business just two and a half hours, twice a week, and has a market value of about $2bn. During its limited opening hours, only around a quarter of the 80 securities listed on the exchange will trade. Babylon, as a result, invests only a quarter of its assets in the stock market, with a further quarter invested through internationally-traded Iraqi bonds, dinar-denominated six-month Iraqi Treasury bills and some private equity investment. The balance will be invested in foreign companies that do business in Iraq.
Englund may have persuaded the Europeans to put their money to work in a war zone - but one group are staying well clear. The fund, which Englund says can take in a further $15m, as yet does not have a single cent of American cash.
FT Alphaville » Blog Archive » Next stop for alternative investing - Iraq
Does this mean Parliament is Still Working???
Voices of Iraq
Iraq-Syria-Update Posted by: nakr2004 on Tuesday, February 13, 2007 - 11:10 AM
Iraq-Syria-Update 1
Mashhadani visits Syria
(Adds more details)
By Adel Fakher
Baghdad, Feb 13, (VOI) – Iraqi Parliament Speaker Dr. Mahmoud al-Mashhadani, accompanied by a delegation of parliament members, headed on Tuesday morning for Syria, a media source said.
"Dr. Mashhadani will discuss with Syrian officials the issue of Iraqi refugees," Muhannad Abdul-Jabbar, Mashhadani's media office director, told the independent news agency Voices of Iraq (VOI).
He said Mashhadani will probe means with Syrian officials to ease the suffering of Iraqis residing there and cooperation between the two sides in this respect.
Mashhadani had earlier called on donors to provide assistance to countries hosting Iraqis.
The Syrian government has reportedly allowed Iraqis to reside in Syrian for only 15 days.
http://www.aswataliraq.info/modules....rder=0&thold=0
Iran wants talks as 2 heavily armed US Navy ships gather
Iran wants talks as ships gather
IRAN’s President Mahmoud Ahmadinejad pleaded last night for talks with America — as two heavily-armed US Navy battlegroups steamed towards the Gulf.
He insisted his country’s nuclear row with the world could be settled without violence — but he stretched credibility by denying Iran is arming and funding insurgents in Iraq.
President Ahmadinejad spoke out as the battlegroups gathered. Their warships carry thousands of crack US marines and squadrons of strike aircraft.
The Iranian leader said on American TV: “We shy away from any kind of conflict, any kind of bloodshed.
“We think world problems can be solved through dialogue and the use of logic and a sense of friendship. There is no need for force.”
He claimed he was “sad” when anyone died in the Iraq civil war.
Meanwhile, EU countries approved plans for implementing United Nations sanctions against Iran. There will be a ban on materials and technology that may aid its nuclear agenda and certain assets will be frozen.
The Sun Online - News: Iran wants talks as ships gather
