GCC mutual fund industry to reach $200bn

The long-term prospects for the regional asset management industry remain positive and the GCC mutual fund industry is expected to double in size to about $200 billion (Dh734.5bn) by 2012, according to Securities & Investment Company (Sico), the Bahrain-based regionally-focused investment bank.

Anthony Mallis, Chief Executive Officer of Sico, said: "Despite the severe correction in the world's equity markets, we believe the long-term regional asset management story remains strong. The GCC still offers significant upside potential to investors with a long-term investment horizon and the industry is increasingly developing its practices to those of international standards.

"The prospects of growth and greater transparency will help to bring institutional investors back to the market, thus helping to provide the stability required by the region's stock markets."