The fund will target heavily capitalised companies in 12 markets across the Middle East and North Africa, including Egypt's Orascom Telecomand Orascom Construction Industries, Kuwait's MTCand Saudi Basic Industries Corporation (Sabic). More than 25 per cent of the open-ended fund, which is expected to list on the Bahrain Stock Exchange, has already been invested in the banking sector.

Gulf Investment Corporation will act as the fund's administrator and custodian, Deloitte & Touchewill be auditor and Ernst & Young will act as share registrar. The fund is denominated in US dollars with a minimum subscription of $10,000 and showed a net asset value of $9.80 at the beginning of December. MFC's three existing funds manage in aggregate AED 1,300 million ($353.9 million).