HSBC Global Asset Management this week became the first firm to launch a CIVETS fund.PARA_BREAK_SENTINEL_9f8e7d6c

HSBC Global Asset Management this week became the first firm to launch a CIVETS fund. CIVETS is the latest investment acronym and is based on the maturing economies of Columbia, Indonesia, Vietnam, Egypt, Turkey and South Africa respectively. The term was first coined by Michael Geoghegan, former chief executive of HSBC. The Lux-domiciled Gif CIVETS fund will focus on 40 to 60 listed companies operating in consumer goods, financials, telecoms and energy sectors. “The six countries have young populations, reasonably sophisticated financial systems, maturing equity markets and are diversified along geographical and sector lines,” said Douglas Helfer (pictured), fund manager. According to Citywire Global, the fund also has the ability to invest up to 25 per cent of the book in non-CIVETS nations with similarly attractive demographics such as Mexico, Nigeria, Thailand and the Philippines. Helfer currently manages HSBC’s Russia Equity fund and will work alongside co-managers Basak Yavuz and Andrew Brudenell. Helfer said that South Africa, Turkey and Indonesia currently offer the best opportunities and will form the initial focus of the fund’s portfolio.