Markaz and Gulf Bank Extend Their Long-Term Partnership to Fulfill Customers’ Investment Needs

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Kuwait City, Oct 28: More than a decade since they established a strategic partnership, Kuwait Financial Centre “Markaz” and Gulf Bank continue to leverage their collective strengths and expertise, in pursuit of catering to their clients’ changing needs. The partnership, formalized through a distribution agreement in 2010 of Markaz’s real estate funds, designated Gulf Bank as a Selling Agent of Markaz’s investment funds through its Priority Banking network located in selected branches throughout the country.

Subsequently, the partnership expanded to include bonds and real estate club deals in the USA and GCC. Through this partnership, both Markaz and Gulf Bank continue to provide investment opportunities for potential investors with interest in the real estate sector, regionally and internationally.

Distribution of Markaz’s Real Estate Funds

The Markaz and Gulf Bank partnership facilitates the distribution of Markaz’s flagship investment products – the Markaz Real Estate Fund (MREF), distributed since 2010, and the Markaz Gulf Real Estate Fund (MGREF), launched in 2014 and first distributed in 2015 through the bank. Whereas MREF aims to generate stable and recurring Shari’ah-compliant returns by investing in Kuwaiti real estate properties, MGREF is a privately placed open-ended fund investing in income-generating properties in the GCC’s most promising real estate segments to generate stable income and returns through sound property acquisition, management, and disposal. Both funds present clients with the opportunity to invest in the real estate sector and benefit from the investment advantages provided by real estate assets for a lower monetary value than acquiring real estate directly, under the supervision of efficient and expert fund managers, accompanied with monthly returns.

Capital Market Services

In light of this partnership, Markaz and Gulf Bank collaborated in the capital markets field, given the extensive expertise attributed to each of the organizations and the broad investor base each enjoys. Accordingly, Markaz was assigned as the issuance manager for Gulf Banks bonds, which stood at KWD 100 million in value. Both organizations also came together as joint issuance managers for Markaz’s KWD 25 million bonds, which were issued that same year. Issuances for other companies then followed, which were managed by both Markaz and Gulf Bank, reaffirming the mutual trust in the execution and distribution network capabilities of both entities. This partnership also witnessed the fruition (in cooperation with other issuance managers at times) of seven bond issuances with a total value of KWD 455 million, which contributed to building a solid base for the Kuwaiti bond market.

Joint Real Estate Deal

Furthermore, Markaz offered Gulf Bank clients the opportunity to invest in the GCC; specifically in Saudi Arabia through its Riyadh and Khubar based offices, and in the UAE through its Dubai and Abu Dhabi offices. In terms of international markets, Markaz offered investment opportunities in the USA through its international real estate arm Mar-Gulf, through Markaz’s value-added US program, and through residential projects in both Texas and Missouri, which are private placements.

Commenting on the long-standing partnership with Gulf Bank, Abdullatif W. Al-Nusif, Managing Director of Wealth Management and Business Development at Markaz, said: “We take immense pride in our long-standing partnership with Gulf Bank, which has spanned over a decade, as we continue to offer our investment products to the bank’s clients. We have achieved remarkable milestones together that have allowed us to enable the investment community through tailored funds, providing them with opportunities to invest in the real estate sector. We look forward to continued success and growth in the future.”

In his statement, Tariq Al-Saleh, Deputy General Manager of Investments at Gulf Bank, expressed, “We take immense pride in our enduring partnership with Markaz. It highlights our dedication to offering clients an array of innovative investment products tailored to their requirements, empowering them to enhance their wealth.”

He further stated, “At Gulf Bank, our goal is to enhance our strategic collaboration with Kuwaiti companies operating in the capital markets, notably the Kuwait Financial Center. This aligns with our ongoing initiatives to bolster Gulf Bank’s essential role in energizing the local capital market. We are dedicated to consistently offering exceptional investment opportunities to our customers.”

Over the years, Markaz has consistently provided a range of funds tailored to meet the evolving requirements of investors in a dynamic investment landscape. Through its collaboration with Gulf Bank, a prominent financial services provider with an extensive branch network, Markaz has expanded the accessibility of its investment products to a broader and more diverse investor base. Moreover, this aligns seamlessly with Gulf Bank’s commitment to provide its customers with wide-ranging investment options.

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