Email of the day (2)
Comment of the Day

December 09 2010

Commentary by Eoin Treacy

Email of the day (2)

on Qatar, Russia and energy investments:
"Thank you for the attention given to my question in yesterday's comment of the day.

"My way into Qatar is through EQEO, an AIM listed fund. I accept that the country has far more natural gas than oil. But it does have one of the world's highest GDP growth rates and some say soon it will be upgraded by index makers from frontier to emerging. That it will host the next World Cup in 2022 should give it further exposure to the consciousness of investors. On the other hand Iran is not far away. And Al Jazeera does not always help it to make friends. Against that, some 20% of the UK's gas supplies come from Qatar through Milford Haven. So the UK government despite its attenuating military resources certainly will try to protect its interests there.

"On Russia, I am less fearful than you. But emotion may be clouding my judgement since my wife was brought up in Moscow. And I am comforted that the crowd does not yet seem to be piling in, though I note that Hargreaves Lansdown is now giving Russian funds the same prominence as Asian, Latin American and resources funds in their website commentary. Further Russia is not just about natural resources. The emerging middle class theme is alive in Russia too.

"Still on the energy theme, if you or others are interested, I am invested in NCE, a closed end fund of mainly oil and gas companies which still trades on a good discount."

Eoin Treacy's view Thank you for taking the time to respond to my query on how to invest in Qatar. I have added the Epicure Qatar Equity Opportunities Trust and the New City Energy Trust to the Chart Library.

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