Momentum Asset Management wins at the 2013 AfricaAM Performance Awards

The fund was also the runner up and received a ‘highly commended’ in the broader Africa Fund under $50 million category, which took into account all Africa funds. Out of 26 categories, six ‘highly commended’ accolades were awarded in acknowledgement of the fund being close to winning and therefore deserving of a special mention.

The judging partner for the 2013 AfricaAM Performance awards was Riscura, a global, independent financial analytics provider and investment consultancy, with the judging panel comprising representatives from AfricaAM, leading institutional and private investors and industry experts. Judging decisions were based on performance, as well as qualitative and structural criteria.

Fungai Tarirah, head of Africa investments at Momentum Asset Management, emphasised the team’s focus on finding companies that are actively participating in the key themes unfolding across the continent and run by experienced management teams. The African market currently offers a number of attractive return-generating opportunities in industries including the provision of financial services, the production and supply of consumer goods, infrastructure development (road, rail, ports, etc.) and import substitution (local production stimulus).

 

Having strong brands that command market share, whilst maintaining clean balance sheets and generating free cashflow, are also important considerations. "Continuing to apply these principles will be central to achieving consistent investment performance in inefficient markets,” said Tarirah. "Active management, extensive travel to the countries in which chosen companies operate and a disciplined approach to risk management are also key components of our investment strategy.”