Alkhabeer Capital, a leading asset manager specialising in alternative investments, said its total operating income for 2016 increased 16 percent to SR207 million ($55.20 million), while net income grew 6 percent to SR71 million ($19.20 million).

The results mark the company’s seventh consecutive year of record financial performance, a statement said.
 
At the end of December 2016, total assets had increased to SR1.61 billion, up 16 percent from the end of the previous year. Shareholders’ return on equity continued its upward trajectory to reach 8 percent. Total assets under management grew by 10 percent to SR4.4 billion, while the return on investment raised to 12.6 percent.
 
Alkhabeer Capital chairman Musaad Mohammed Aldrees said: “Given the continuing backdrop of economic uncertainty, market volatility and geopolitical tensions, which adversely affected investor sentiment during the year, this constitutes a significant achievement. Based on these results, the Board of Directors will be discussing a proposal of dividend distribution to shareholders, which will mark the fourth consecutive year of dividends to be paid by Alkhabeer Capital, and recognises the unwavering loyalty and support of our shareholders.”
 
Ammar Shata, Alkhabeer Capital’s executive director, added: “During 2016, we made excellent progress towards implementing our strategy that is focused primarily on alternative investment asset management. Underpinned by our two key pillars, real estate and private equity, the strategy of Alkhabeer Capital is aligned with a selection of key target sectors included in Saudi Arabia’s 2030 Vision and the National Transformation Plan 2020. These include education, healthcare and religious tourism. Moreover, the strategy addresses the changing risk appetite of investors in today’s highly volatile economic environment.”
 
Ahmed Ghouth, Alkhabeer Capital’s chief executive officer, also noted: “These achievements illustrate the success of our business teams to respond proactively to changing market dynamics and clients’ needs. As a result of their focused efforts, we achieved a 10 percent increase in client participation in the Company’s investment funds, successfully raising a record SR588 million through private placements. We also expanded our client base by 17 percent, including a significant increase in institutional clients such as local investment firms and regional banks; and increased discretionary portfolio management accounts by 28 percent.”
 
Looking ahead, Shata added: “We expect 2017 to be another highly challenging and unpredictable year, with the headwinds that rocked the region in 2016 continuing unabated, fueled by ongoing concerns and greater uncertainty. However, based on our solid achievements in 2016 and recent years by our high-caliber teams, we remain cautiously optimistic about the future prospects for Alkhabeer Capital." - TradeArabia News Service