Rasmala Palestine Equity Fund / Letter to the Shareholders – Dividend Distribution

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Dr. Mohammad Mustafa
Chairman of the Board, Rasmala Palestine Equity Fund

 

As we approach our 5th anniversary in May, 2016 we are pleased to announce another rewarding year to our investors, with the distribution of USD 5.0 per unit for 2015, offering a yield above 5.0%.

In such an uncertain environment and defying global and regional trends during 2015, Al-Quds Index increased by +4.10%. In comparison, Rasmala Palestine Equity Fund advanced by +5.94%, outperforming the benchmark by +1.85% net of all expenses. The total return since inception reached +18.93% versus +7.45% for Al-Quds Index. The Fund’s assets under management reached USD57.1 million as of December, 2015, being the largest mutual fund investing in the Palestinian market.

Marketwise, USD appreciation continued to pressure corporates’ bottom lines, nevertheless, earnings increased by around 21.8% in 2015 led by Banks and the narrowing of Wataniye losses after the government revised their licensee agreement. In 2016, we expect consolidation to support growth in the Banking sector. Moreover, new listings in the Building Material and Discretionary Consumer sectors should provide a qualitative addition to the market.

Our strategy will continue to capitalize on market mispricing and we are also looking to increase exposure to new companies in the Building Materials and Discretionary Consumer sector. We still believe the Banking sector has a lot to offer in terms of growth, especially as the market further consolidates.

Please see below the dividend schedule:

  • Record date: 6th of June 2016
  • Ex-dividend date: 13th of June 2016
  • Pay date: 20th of June 2016

For more details please refer to the attached materials.

Best Regards,
Dr. Mohammad Mustafa