Gulf fund market summary - Q1 2009 analysis

- Funds registered for sale in the GCC decreased almost 6% for first quarter 2009.
- Equity funds and real estate funds recorded the worst performances, plunging 7.74% and 6.39%, respectively.
- Bond and mixed-asset funds registered negative quarterly returns of 3.42% and 4.40%, respectively.
- Money market funds were the best performers during the quarter, posting minus 2.15%.
- Lipper's Islamic Money Market Funds Index posted a minus 0.01% quarterly return, while the Lipper Islamic Equity Funds Index shed 6.67%.

Dunny Moonesawmy, Lipper's Head of Research for the Middle East, commented:

"GCC markets followed patterns similar to the global market during the first quarter. The first two months of the year were globally negative, while stock markets in the region recovered in March. Funds invested in natural resources and in emerging markets took advantage of regained confidence in the global market to post strong gains on the back of better fundamentals. The exposure of the GCC market to these two segments together with the financial sector makes the region attractive in the case of the confirmation of a global recovery."

A copy of the full report is attached, including tables showing top/bottom performing funds, sector performance. For more information, or to speak to one of the authors of the report, please contact me.

Lipper Fund Market Insight Reports provide in-depth summaries and analysis of key economic and market events that help shape both fixed income and equity mutual fund performance trends. These regular reports allow you to view trends within the equity and fixed income fund universes, highlighted in detailed charts, graphs, and commentary. Lipper is a Thomson Reuters company.