​Global fund managers looking for ports amid ongoing storms in emerging markets will find opportunities in the Middle East and North Africa, the CEO of top regional investment bank EFG Hermes said today in London at the opening of the largest MENA-focused investor conference to take place each year in the United Kingdom. “This year has proven to be very challenging for emerging markets of all forms, but it has also brought into clear relief the fact that there could still be very compelling and undervalued growth opportunities across the Middle East and North Africa,” EFG Hermes CEO Karim Awad told participants at the fifth annual EFG Hermes London MENA conference. “Low oil and low commodities prices will challenge some regional economies, but those with less petroleum-reliant economies could outperform going forward.” Today’s event sees 250 fund managers with aggregate assets under management of c. USD 8 trillion gather at Emirates Stadium to kick off three days of meetings with senior executives from 90 top listed MENA companies. Attending fund managers were drawn from the City of London and as well as other major financial capitals. Alongside perennial regional security issues, regional markets have recently faced challenges from the spillover of global turmoil due to the cooling Chinese economy. The prospect of a December rate hike from the U.S. Federal Reserve and new budget realities for oil exporters amid plunging prices have led some investors to question MENA opportunities. “IPOs may be postponed for a period given current market performance, but lower valuations will create opportunities for M&A plays. Even in heavyweight petroleum economies such as Saudi Arabia, opportunities are starting to present themselves — along with potential long-term upside,” said Mohamed Ebeid, Co-Head of Brokerage. Wael Ziada, Head of EFG Hermes Research & Executive Chairman of EFG Hermes Leasing, added: “What’s more, there is plenty to like in countries such as the United Arab Emirates and Egypt. Our take: Amid the current selloff, GEM investors will reward two kinds of markets over the next year: those that have strong balance sheets, and those that are making reforms or that are otherwise seeing growth. The UAE has a credible peg to the US dollar; it continues to make meaningful reforms, and both the reintegration of Iran into the global economy and Expo 2020 in Dubai support the growth outlook. Meanwhile, Egypt may be vulnerable on foreign exchange, but it is showing signs of reform and the growth outlook is becoming brighter, especially after Eni’s recent breakthrough offshore gas discovery.” Presenting companies in attendance represent 10 industries and hail from 13 countries, with an aggregate market capitalisation of c. USD 282 billion. Industries represented include: Consumer Discretionary, Consumer Staples, Energy, Financials, Health Care, Industrials, Materials, Real Estate & Hospitality, Telecommunication Services and Utilities.