Journal of Kuwait 4.14 million KD profit for the "financial center" in 9 months

Al-Hajeri said the financial markets of the GCC countries closed the third quarter on a positive overall performance, with the markets of Kuwait, Qatar and the United Arab Emirates growing by 6.5% and 9.2%, respectively. 4.8%, but the Saudi market, which represents the share. The most important of the Standard & Poor's index of Arab countries decreased by 2.7%.

Kuwait Financial Center ("Markaz") announced its financial results for the nine-month period ended September 30, 2007. Total revenue amounted to 15.12 million dinars, an increase of 14% per annum. compared to the same period in 2017. While fees and management fees increased by 36% compared to the same period During the same period last year, it amounted to 6.94 million. dinars, while net profit attributable to shareholders of the parent company amounted to 4.14 million dinars, to 9 wires per share, with a profit margin of 27%.

Manaf Al Hajeri, Chief Executive Officer, said: "The Center achieved positive financial performance through its asset management and investment banking activities from early 2018 to the end of the third quarter. revenue from asset management services increased by 19% to $ 5.15 million brokerage fees and fees for investment banking services amounted to 1.79 million KD.

Al-Hajeri added that the Center's investments generated an income of 8.17 million KD and returns of 10% year-on-year. Due to our cautious asset valuation policy, we recorded a combined allocation of KD 2.75 million reflecting current market conditions in some countries. The volume of assets managed by Al Markaz rose 4.0% year on year to KD 1.06 billion at the end of the third quarter.

GCC markets ended the third quarter on a positive overall performance as the Kuwait, Qatar and United Arab Emirates markets rose by 6.5%, 9.2% and 4.8% respectively, but Saudi, which accounts for the largest share of the Standard & Poor's index for Arab countries, down 2.7%.

He pointed out that most of the active equity funds managed by Al Markaz have outperformed their performance since the beginning of the year, with the Center 's Investment and Development Fund topping the list. the best Kuwaiti funds invested in the Kuwait Stock Exchange, with returns of 11.70% since the beginning of the year. At the end of September, followed by "Center for Excellent Returns" with returns of 11.11% for the same period.

"The real estate projects in the GCC region are characterized by the quality of their assets, their commitment to funding standards compared to similar projects and industry standards, and the Center has been successful in maintaining a rate of Weighted occupancy of approximately 96% in the overall portfolio, for income-generating real estate in Kuwait, the United Arab Emirates and Saudi Arabia, as well as for the rate of return. occupancy of the Al Maha residential project in Kuwait and the residential development project of Abu Dhabi, which we have recently developed to 85% and 100% respectively.

In detail, the slowdown in economic growth in the region, which began in mid-2014 with the drop in oil prices, as well as geopolitical developments, continue to affect real estate market performance in the GCC region. Reflected by decreases in rents and sales in 2018 by 10% in the United Arab Emirates and Saudi Arabia, while remaining stable in Kuwait.

Al Hajeri said: "Thanks to the quality of our assets and the poor performance of our market, the Center will continue to exploit its properties located in the GCC as" revenue generating assets in anticipation of the future ". 39, optimal exit opportunities as the market recovers. " "As part of its plan to increase the efficiency of its real estate portfolio in the Middle East and North Africa (MENA), we completely divested a commercial property in Jordan in the third quarter and realized a total return of 29%.

The real estate sector continued to grow at a slower pace, with the commercial property price index (CPPI) increasing by 2% In the first nine months of 2018, the Center launched three projects of industrial real estate development in the United States. And from Europe.

"We have taken a selective approach in selecting our projects, focusing on assets with fundamental fundamentals such as supply and demand dynamics, positive rent growth and the stability of the market. 39, employment, "said Al Hajri. "The center also has three projects in the US, Industrial Project and Self-Storage, and we have achieved a 27% rate of return."

He emphasized that the Center continues to provide services to businesses and individuals in the Middle East and North Africa, as well as to transnational corporations with cross-border activities. .

One of the most important operations of the center's team was debt restructuring for the Sultan Center for Foodstuff and ACICO's acquisition of a minority stake in one of its subsidiaries.

The Center continues to expand its customer base, supported by a record number of investment banking operations. The value of Al Markaz's consulting business during his career was approximately KD 1.24 billion at the end of September 2018.

The Center was recently named the best investment bank in Kuwait in 2018 for the seventh time in eight years by Global Finance, a magazine on finance and investment. The selection committee chose the Center based on a number of criteria, including market share, number and volume of transactions, services and advice provided, distribution network, efforts to address market conditions, innovation, prices and market reputation.

Due to the rapidly changing economic and geopolitical situation around the world, markets are experiencing an upsurge in volatility and the Center wishes to constantly communicate with its clients to discuss ways to reduce the impact of these fluctuations on their investments. .

A number of steps have been taken to improve the efficiency of internal operations by improving their performance and reducing their costs, in line with the 40 years of the Center's leadership in providing management services. asset and investment banking services in the region.