New Star Heart of Africa fund raises £34 million at launch

New Star’s Heart of Africa Fund raised £34 million over the course of its three-week launch period, which ended on 9 November.

The launch of the sub-Saharan excluding South Africa fund, run by the Citywire A rated manager, Jamie Allsopp, reflects New Star’s belief in the growing investment potential of the region. It is designed to offer sophisticated investors access to the region in the early stages of its development. Strong economic growth, a reducing debt burden, high levels of foreign direct investment, increasing levels of political stability, strong demand for resources and a low level of correlation with other world markets have combined to make sub-Sahara excluding South Africa an attractive investment destination.

Mark Skinner, managing director, New Star Asset Management, says: “To raise £34 million at launch has exceeded our expectations. This sum raised so far has allowed Jamie to commit to a high conviction portfolio of stocks that is well diversified across the region and across a number of high-growth sectors.

“New Star will be capping the size of its Heart of Africa investment strategy at £100 million. Whilst the fund still has additional capacity we expect to see continued strong demand for this product”