Gulf States are raining money...
With oil hitting $127 a barrel, the world population soaring and demand for scarce commodities at an all time high... these resource-rich emerging markets are being flooded with investment.
For investors in one uniquely positioned company it could mean extraordinary growth in the years ahead... starting precisely at midnight 2 June 2008.
Before I reveal why, let me explain why the boom times in the Gulf are here to stay for the foreseeable future...
Take Qatar...
Like its neighbours the Gulf emirate is in the midst of a massive economic boom.
As the world’s biggest exporter of liquefied natural gas, demand for LNG is soaring because the stuff is still undervalued compared to oil.
To produce all that gas to satisfy global demand, Qatar is bringing in hundreds of thousands of foreign workers to work in its booming energy and construction industries. They come from India and Pakistan and from the poorer Arab countries like Egypt to seek their fortunes...
Of course, if you have ever visited the region, you’ll know the Gulf States rely on cheap imported labour to keep their economies going.
But we’re seeing something on an entirely different scale right now.
So much so Qatar’s population has risen by a staggering 90% since 2004 to more than 1.4 million. It’s up 18% over the last year alone!
If you want to see the very definition of a boom town, look no further.
An economy growing six times faster than Britain
The Qataris are raking it in!
The economy grew by 14% last year and will repeat that performance this year, according to IMF estimates. The average income is expected to hit $80,211 this year - almost double what it was just four years ago.
What are the chances of us ever seeing something like that happen here in Europe? Pretty darn slim!
I’ll put that into perspective...
The IMF estimates the average personal income here in the U.K. was $45,301 in 2007 and will reach $48,071 this year. It expects the British economy to grow by 2.3% this year. So, if we’re lucky and the U.K. economy doesn’t get derailed by the credit crunch and plunging property prices, we’ll be a little bit richer than the Qatari’s were four years ago.
Not only that, the country’s vast gas reserves are expected to last for another century, so this story still has a long, long way to go. That boom is also paying-off big time for investors. Qatar’s share market hit a 28-month high on Tuesday.
You can see why I’d rather put my money down on the Gulf over the long-term... and you should too.
Because it’s not just Qatar...
The "backdoor" way in to the booming Gulf
We’re seeing a huge boom right across the Gulf region, but most international investors still haven’t got a clue on how to buy into this boom. Many think it’s too hard and risky getting exposure to the Gulf’s markets.
But it’s easier than you might think...
Here at Profit Hunter we’ve been well placed to profit from this phenomenon since December last year.
The company we’re invested in is making a fortune hoovering-up the region’s petrodollars and re-investing them in undervalued Western companies for the last 25 years.
It’s recently been investing a lot closer to home as well - their Gulf Growth Capital fund is investing in high-growth companies in the region.
It gives you a brilliant "backdoor" entry into the booming Gulf. But I’d act quickly if I were you...
Why you should buy in BEFORE 2 June
You see, not only is this company extremely undervalued, on Tuesday it announced that it will become one of seven constituent companies included on the MSCI Bahrain Index from 2 June.
The MSCI indices are the world’s leading family of global financial indices and are widely tracked by professional investors. The move is brilliant news for our company...
Why? Based on its market cap this potential goldmine will have a 17.8% weighting in the index and therefore automatically gets included in both the Frontier Markets Index and GCC Index.
This means investment funds that track these indices will HAVE to buy in. And with international investors increasingly interested in the Gulf and in the so-called "frontier markets"... this could give its share price a real punch.
If you’re looking to profit from the region’s energy boom without investing directly in the volatile energy markets, I think this is probably the smartest investment you can make.
Here’s how all the exclusive details can be yours.
Regards
Manraaj Singh
Editor
Profit Hunter
