Fund Overview

China

Agincourt Capital’s second fund will invest into Chinese mainland real estate and is slated for launch in early 2012. The fund will invest in commercial and residential real estate, with expected returns of up to 20% p.a. Fund size will be an overall 20BN RMB, issued in two tranches of 10BN during a two-year period. It is likely that funds will be raised in a combination of direct equity and convertible RMB bonds.

China is currently the world’s second-largest economy by GDP and is expected to surpass the U.S. within the next 20 years. Combine this economic growth with the understanding that there is an incredible shift in living standards and styles in China, as recent reports show that as many as 20 million people per year are moving from rural areas to urban areas, and it is easy to see that there will be a sustained demand for real estate.

The Agincourt Capital China Fund will primarily invest in Tier 2 & Tier 3 cities, since Agincourt views the Tier 1 cities of Beijing & Shanghai as not likely to produce the returns required in the coming decades.