Dubai-based United Investment Bank (UIB) has announced the launch of its Royal Football Fund across the Middle East and other emerging markets. 

The fund aims to raise $200 million, opening up a business activity which is traditionally closed to the investment community, said a statement.

With a minimum subscription of $500,000 and a lock-in period of two years, the fund expects to an average annual net return of 20 per cent. 

Arranged into three investment classes, the Royal Football Fund has been created to provide investors with an alternative investment product that can contribute to the diversification of their portfolio in uncorrelated assets.   The fund will pull together football clubs and an investment team that have demonstrated an excellent performance record, including FC Porto and a pool of prestigious experts in the Football business, it said.

Taking advantage of some of the major revenue generating activities in the industry, the Royal Football Fund will focus on three areas of activity: co-investing with football clubs and leading players agents in the economic (sport and image) rights of football players; equity investments in listed football clubs and the promotion of football matches and related marketing, broadcast and media rights.

“This is a fund where high revenues are generated by the passion of fans,” commented UIB CEO Raul Silva.  “It is the passion of the world’s football fans that drive football clubs to continuously invest in improving their teams.   They have to stay competitive, satisfying the expectations of both their supporters and shareholders. This is one of the main reasons why the Football industry presents several profitable revenue streams.” 

A core part of the expertise in delivering the fund is the expert advisory board working closely with UIB. It includes Isidoro Gimenez, a players’ agent licensed by the Argentinean football association as well as being a former professional football player. With more than 20 years of experience managing football players’ careers, Gimenez has taken part in several transfers both from South America to Europe and within the European market.

As head of the Velez Sarsfield (Argentina) football department, he won all the major football trophies - Argentinean League, Libertadores and Intercontinental Cup. Gimenez is a prominent Licensed Player’s agent and has several years of experience working closely with leading clubs including FC Porto, River Plate, Bayern München, Olympique Marseille, Olympique Lyonnais, FC Dinamo Moscow. He is currently in charge of the AC Milan Football Academies and is the agent of Juan Manuel Iturbe (Argentina u-20), regarded as the most promising youth player worldwide.

It also has Alexandre Pinto Da Costa, who has a long-standing involvement in football. Having been a director of the football department at FC Porto from 1986 to 1993, he won several titles including several Portuguese Leagues, Champions League and Intercontinental Cup. Da Costa has taken part in several players’ transfers including some of the most significant in football history (Luis Figo and Zinedine Zidane to Real Madrid in 2000 and 2001). Da Costa’s father is the President of FC Porto which he has been successfully managing over the last 3 decades. According to the International Federation of History and Statistics of Football (IFHSF), FC Porto is the 3rd best club in the world (based on sports results and titles) after Real Madrid and Barcelona.

Finally, Miguel Pinho, who is currently in charge of AC Milan youth scout worldwide and manager of the AC Milan football academy in Portugal. Miguel has years of experience in scouting, match strategy, as well as players and matches analysis. He was part of José Mourinho’s team at FC Porto (Portuguese cup, UEFA cup and champions league winners) and is a strong believer in the importance of youth formation.

Isidoro Gimenez said: “Over my years in the industry, football has proven itself to be a strong and dynamic industry.  The combination of passion, skill and entertainment has created a formidable business force that we now want to extend to the wider investment market.”  -TradeArabia News Service