Melita International Funds Sicav Plc launched

by Anthony Manduca

A presentation by a select panel of internationally and locally distinguished speakers was held at the Malta Hilton on 2 June to mark the launch of Melita International Funds SICAV plc. This presentation focused on a number of important issues with particular reference to asset management, the fund advisory function as well as the international markets in general. Included in the panel were Julian Adams and John Pullar-Strecker, senior fund manager and technology fund manager from Aberdeen Asset Managers Ltd.

Mr Adams has been specialising in emerging markets since 1990 and has now joined the Investment Committee of Globe Fund Advisors. Mr Pullar-Strecker is a well-recognised equity fund manager who has specialised in technology stocks for over 10 years. In the light of one of the sub-funds of the Melita International Funds SICAV, the Melita International Technology Fund, Mr Pullar- Strecker spoke in depth about the nature of the technology market as well as international equity markets in general.

Melita International Funds SICAV plc which is licensed by the MFSC, is composed of 12 sub-funds ("the funds"), six of which are denominated in Maltese liri and the remaining six in US dollars. Four of the 12 funds are funds of funds investing in a number of collective investment schemes. The remaining eight are feeder funds that feed directly into the corresponding funds of Aberdeen International Funds plc, an Irish incorporated investment company, which is managed by Aberdeen International Management Ireland Ltd (a subsidiary of Aberdeen Asset Management plc). Aberdeen Asset Management is one of the largest independent management groups in the UK. An internationally based investment group, it boasts more than 425,000 clients worldwide and as at 31 March manages over US$20bn in funds.

Melita International Funds SICAV plc is being managed by Mediterranean Fund Management Limited, a newly formed fund management company, recently licensed by the MFSC.

The company is a result of an alliance which brings together the local expertise of Globe Financial Management Limited in the promotion and marketing of collective investment schemes and the extensive expertise of Forum Financial Group in the US in providing professional administration and back-office processing systems for investment funds.

Forum Group, whose line of service relates mainly to portfolio accounting, shareholder servicing and custody administration, currently serves over US$80bn in US mutual fund assets.

Forum provides it services on a global basis, employing some 240 personnel in the United States alone and having another 145 overseas.

Incorporated on the 21 December 1995, Globe Financial Management Ltd, which forms part of the Globe Organisation, has through its international alliances focused onto the promotion of collective investment schemes.

More recently, Globe has strengthened its position in the local market by developing new investment products, thus complementing the range of services it now offers. Globe Financial Management is licensed to conduct investment services business by the MFSC. Globe Funds Advisors Limited, a wholly-owned subsidiary of Globe Financial Management Ltd, have been appointed advisors to the company. Globe Fund Advisors is licensed by the MFSC to provide investment advice to collective investment schemes and currently provides its services to two collective investment schemes that together had a Net Asset Value in excess of US$70m as at 28 April. The company also capitalises on the expertise of Aberdeen Asset Managers Ltd, sub-advisors in relation to these funds.

The launch at the Malta Hilton marked the opening of the initial offer period whereby all funds will be offered at a 50 per cent discount on initial charges which will last till 30 June. An application has been placed for the Melita funds to be listed on the Malta Stock Exchange and if listed, all local residents will be exempt from paying capital gains tax on their investment.