Markaz reports strong performance for ATLAS family of investment products in 2005

The ATLAS Diversified Program delivered an investment return of 26.8% to the end of year 2005, more than twice the benchmark Markaz Global Securities Index (MSGI) performance of 11.1%. Launched in July 2005, the ATLAS Exchange Traded Fund (ETF) program returned 9.56% to the end of year 2005, outperforming the MSCI World Index benchmark of 9.49%.

The ATLAS Fund of Hedge Funds achieved a return of 6.46% to the end of year 2005, compared with the HFR US Global Securities Index performance of 3.08%

Commenting on the results, Markaz Investment Manager, Barak Al Usaimi said,

"The ATLAS family of products has successfully delivered on its objective of achieving consistent returns with low volatility. Atlas Diversified Portfolio's impressive performance is attributed to its fine asset allocation in the international investment arena and in particular its dedication to tactical asset allocation methods to enhance performance. Its assets are widely distributed across all markets including an allocation to Kuwait/GCC and in all types of assets such as equities, bonds, money market, real estate and hedge funds."

'We are particularly pleased with the success of the ATLAS ETF Program which seeks to achieve out-performance of broad market and sector indices by allocating its assets to various Exchange Traded Funds worldwide. The results are a reflection of our active management style, and our use of tactical asset allocations as part of a strategy to outperform specific industry sectors and market indices."

Mr. Al Usaimi said ETFs are attractive to investors because, like stocks, they can be traded on the stock exchange while, like mutual funds, they behave like a diversified portfolio. "Investors will benefit both from the liquidity of stocks and from an investment fund that tracks their benchmarks," Mr. Al Uasimi said.

"Markaz's ATLAS ETF Program is an excellent vehicle for investors both within and outside the region who are seeking higher returns and reduced risk. The program is highly diversified with assets actively allocated around the world. It is a specialized investment solution, with an extremely low expense ratio, designed to meet the increasingly sophisticated needs of global investors."

The ATLAS ETF Program is designed to enable an investor to enter any working day of a month with a minimum investment of $150,000. Redemption is weekly, on every Friday of the week, with notice to be given by 12.00 noon Wednesday.

"We are also delighted with the performance of the ATLAS Fund of Hedge Funds," Mr. Al Usaimi said. "The primary objective of the fund is to preserve capital by minimizing volatility. Using an active asset allocation approach, investment strategies such as managed futures and fixed income arbitrage are managed by international 'boutique' firms with specific skills and expertise."

Subscription to the ATLAS Fund of Hedge Funds is monthly. Redemption is also monthly, with 45 days notice. Minimum investment is $500,000.

"The impressive performance of ATLAS Family of Fund and Programs reinforces Markaz's reputation as a regional leader in asset allocation, fund and portfolio management," Mr. Al Usaimi concluded.