RAB Capital is launching two Ucits III funds with a combined initial size of US$100m (€70m) that will invest in mining and precious metals equities.
The RAB Global Mining and Resources Fund will launch with $70m under management and invest in large-cap companies in the natural resource sector. The RAB Gold and Precious Equities Ucits Fund will launch with $30m and invest in large to mid-cap companies exploring for or producing precious metals.
The funds hope to benefit from growing demand for steel, precious metals and energy mining that is being driven by rapid industrialisation in China, India and other developing regions. RAB Capital also hopes to capitalise on supply shortages that are tightening commodity markets. The firm said its portfolio management team has invested in the mining sector since 2003 and benefits from a network of industry contacts.
RAB Capital CEO, Charles Kirwan-Taylor said: “We believe the natural resource sector is a particularly exciting one especially in the current environment where inflationary pressures are starting to emerge and supply constraints are beginning to bite.”
©2011 funds europe