Kuwait Financial Centre KPSC · KSE:MARKAZ
Kuwait Financial Centre KPSC — Kuwait Financial Centre (Markaz) — Investor Presentation (September 2005)
32 slides from Kuwait Financial Centre KPSC's investor presentation, September 2005
Slide 1: Kuwait Financial Centre 'Markaz'
Kuwait Financial Centre ‘Markaz’ September 2005
Slide 2: Mission Statement
Mission Statement Our mission is to achieve regional leadership in corporate finance and investments by adopting a “client-centered” approach committed to people, performance and growth. How do we do it ? We provide a diverse range of specialized services that can offer added value to our clients
Slide 3: About Us
About Us Established in 1974, Markaz is a Kuwaiti Investment Company traded on the Kuwait Stock Exchange and regulated by the Central Bank of Kuwait Assets under management exceeded US$ 4.2 billion as of September, 2005. Markaz focuses its core growth by offering innovative ideas and products to
Slide 4: Board of Directors and Management
Board of Directors and Management Board of Directors Diraar Y. Alghanim Chairman and Managing Director Sheikh Humoud Sabah Al-Sabah Vice-Chairman Faisal A. M. Al-Jallal Director Ibrahim M. Al-Ghanim Director Sulaiman Hamad Al-Dalali Director Ayman A. Al-Shaya Director Fahad Y. Al-Jouan Director
Slide 5: Financial Overview
Financial Overview Return on Equity ( % ) Net Profit (KD Million) 32.00% 28.20 35% 30 30% 25 25% 20 20% 16.14% 13.14 13.56% 15 15% 9.63 8.12% 6.81% 10 10% 5.69% 4.18 3.54 5 2.84 5% (3rd Q) (3rd Q) 0% 0 2000 2001 2002 2003 2004 2005 2000 2001 2002 2003 2004 2005 Shareholders Equity (KD Million) Earni
Slide 6: Assets Under Management
Assets Under Management Our growth is achieved by maintaining the highest level of client servicing. Assets under Management ($ Million) 4,500 4,200 4,000 3,500 2,872 3,000 2,500 2,133 2,000 1,500 1,178 778 1,000 493 500 0 2000 2001 2002 2003 2004 2005 6
Slide 7: Spectrum of Products and Services
Spectrum of Products and Services “Markaz is a full fledged Investment Banking institution committed to fulfilling the different financial needs of individual and corporate clients.” Asset Management Investment Advisory • Local Funds Services • GCC Funds & Portfolios • Local and GCC Portfolio •
Slide 8: Local Investments
Local Investments Mumtaz NAV vs KIC Index Mumtaz Fund 10 9 8 7 6 • The Fund seeks to achieve returns in excess of the 5 4 KIC index by investing in the shares of companies 3 listed on the Kuwait, GCC, and other Arab stock 2 1 exchanges. Dec- Jun- Dec- Jun- Dec- Jun- Dec- Jun- Dec- Jun- Dec- Jun- 9
Slide 9: Local Investments
Local Investments Islamic NAV vs KIC Index Islamic Fund 2.500 The Fund aims to achieve capital appreciation by investing in listed and non-listed Kuwaiti, GCC and 2.250 Arab companies provided that their operations are 2.000 compliant with Islamic Shari' a. 1.750 Net Assets KD 42.5 million* 1.500
Slide 10: International Investments
International Investments Mutual Funds Assets under management: US$ 300 million* Atlas diversified asset management program Net assets of approx. US$ 44 million * Year to date growth of 22.61% * Inception to date growth of 59.91% * Portfolio management – assets exceed US$ 161 million.* Atlas Asset
Slide 11: Investment Policy
Investment Policy Accomplishments Currently offering full scale advisory services to several prominent institutions on their investment portfolios. The investment advisory services also covers providing elaborate analysis and recommendation to our clients on various types of investment proposals r
Slide 12: Investment Advisory Services
Investment Advisory Services Meeting the needs of the client Markaz has designed its services to address the concerns every investor faces. - From assessing needs and objectives and deciding investment policy to selecting investment managers and monitoring their ongoing performance. INVESTMENT POL
Slide 13: Investment Advisory Services
Investment Advisory Services Help clarify any questions the investor may have regarding investment fundamentals Assist the investor in establishing his/her investment parameters Propose an ideal asset allocation in accordance with the investor’s investment guidelines Employ a dynamic method
Slide 14: Private Equity
Private Equity Markaz initiated the private equity program in 1997, and presently its portfolio consists of 45 Funds, very well diversified in terms of strategy, sector focus and geography. As of March 2005, commitments under management were US$201.26 million (Markaz US$101.05 million and clients US
Slide 15: Corporate Finance
Corporate Finance Markaz helps corporate clients execute their acquisition and divestiture strategies and advise them on optimal financing structures. Through strategic alliances with prominent international investment banks, we help our clients successfully issue securities, whether debt or equit
Slide 16: Bond Issues
Bond Issues Bond Issue Bond Issue KD 35 million KD 35 million Eurobond Issue 7.875% 6.25% Years 3 Years 5 US $ 60 million Lead Manager Lead Manager 1998 2001 2003 A’Ayan Leasing & Finance Company Kuwait Investment Projects Co. Islamic Financing Bond Issue Bond Issue KD 10 million KD 10 million KD 6
Slide 17: Equity Issues
Equity Issues Rights Issue KGLPI Million Shares 43.5 Rights Offering Lead Manager Lead Manager Underwriter & 2005 2004 Humansoft Holding KPPC NICBM Private Placement Rights Offering Rights Issue Lead Manager Lead Manager Lead Manager & Underwriter & Underwriter 2004 2004 2003 17
Slide 18: Equity Issues
Equity Issues KBMCC Rights Issue Right Issue Right Issue Public Offering Lead Manager Lead Manager Lead Manager Lead Manager Underwriter & Underwriter & Underwriter & 2003 1997 1998 1998 18
Slide 19: Listing and Rating Advisory
Listing and Rating Advisory Listing on Listing on Kuwait Stock Exchange Kuwait Stock Exchange Listing Advisor Listing Advisor 2005 2004 Corporate Rating Corporate Rating 2005 2003 19
Slide 20: Advisory Services
Advisory Services Pearl of Kuwait Bank of Lebanon Real Estate Co. & Kuwait Advisory Advisory Advisory 2003 1999-2000 1993-1994 20
Slide 21: Real Estate
Real Estate Local Markaz Real Estate Fund An open ended fund with an objective to generate recurring stable income, in compliance with the Islamic sharia'a, by investing in a portfolio of real estate properties within the State of Kuwait during the life of the fund with an IRR of 38.13% (inceptio
Slide 22: Treasury
Treasury Since its inception, Markaz has been actively engaged in Foreign Exchange and Fund Transfer Services at highly competitive rates. Through its Global Correspondent Banking network and a significant number of Nostro Accounts, Markaz is able to provide remittance facilities in all major intern
Slide 23: Corporate Governance
Corporate Governance Decision Making Level Asset allocation • Monthly by the Dealers and EVP-Local & GCC investments • Annually presented by the department to the investment committee Research & Analysis - Recommendation presented to dealers post Technical and Fundamental analysis Review D
Slide 24: Compliance Committee Objectives
Compliance Committee Objectives • Comply with relevant statutory and regulatory reporting requirements applicable to Investment Companies regulated by Central Bank of Kuwait (CBK) • Co-ordinate the development and implementation of policies and procedures to comply with the applicable statutory and
Slide 25: Roles and Responsibilities of Compliance Committee
Roles and Responsibilities of Compliance Committee • Centralize current applicable regulations, monitor and implement new regulatory requirements. • Work closely with the Risk Management Department, and Internal Audit function to ensure that the policies and procedures are effective in mitigating th
Slide 26: Roles and Responsibilities of Compliance Committee
Roles and Responsibilities of Compliance Committee The amendments would be triggered by any of the following factors: • New rules and regulations in Kuwait • New business activities at Markaz • New products launched at Markaz • Establishment of new department • Change in the reporting chain • Risk
Slide 27: Biographies
Biographies Diraar Y. Alghanim – Chairman and Managing Director Educated in Kuwait, then Victoria College, Alexandria, Egypt and completed higher education at Millfield School, England. Received his Accountancy training with the Chartered Accountants firm of Peat, Marwick, Mitchell & Co. in Glasgo
Slide 28: Biographies
Biographies Ali H. Khalil - Executive Vice President Mr. Khalil received his BS and MS in Industrial Engineering from Texas A&M University and an MBA from INSEAD in France. Upon graduation from Texas University, he worked as chief engineer for a steel structure firm in Kuwait and later worked as a
Slide 29: Biographies
Biographies Sami Al-Hasawi - Executive Vice President, Local & GCC Investments Mr. Al-Hassawi received his BA in Business Administration from Shaw University of North Carolina. Upon graduation, he worked for Kuwait’s Ministry of Planning as a Research Analyst. In 1987 he joined Securities Group as
Slide 30: Biographies
Biographies Bassam N. Al-Othman – Senior Vice President, Real Estate Development Mr. Al-Othman holds a B.S. in Electrical Engineering from North Carolina A&T State University (USA, 1985) and an MBA from American University of Beirut (Lebanon, 2001). He possesses over 18 years of experience in mana
Slide 31: Biographies
Biographies Nawaf H. Marafi Assistant Vice President – Corporate Finance Investment Banking, Oil and Gas Mr. Marafi joined Markaz in December 2004 and is currently responsible for leading Markaz’ efforts related to the Energy Sector. He is currently leading the effort to establish the Markaz Energ
Slide 32: Contact Us
Contact Us Al-Enezi Tower Kuwait City Tel: (+965) 224 8000 Fax: (+965) 242 5828 www.markaz.com 32
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