Egypt’s latest gold investment fund raised over EGP 30 million from investors, surpassing its initial target of EGP 10 million, revealed a new Financial Regulatory Authority (FRA) reviewed by Prime Minister Mostafa Madbouly yesterday.

The report, presented by Mohamed Farid Saleh, Chairman of FRA, detailed the activities of gold investment funds during July and August 2024.

The newest gold investment fund, named AFIM Evolve Fund “Dahab,” was launched in June 2024 by the Al Ahly Financial Investments Management in collaboration with Evolve Investment, focusing on direct investment in gold bullion with a performance correlation of at least 80% to the gold price index as published by the Egyptian Exchange.

This approach enables investors to gain a tangible asset while closely tracking market fluctuations.

According to a previous FRA report, released last week, the Dahab fund attracted 43 investors in June, accumulating net assets of EGP 35.8 million.

The gold investment funds, part of Egypt's broader strategy to enhance financial inclusion, aim to provide safe investment environments and diverse savings opportunities for various segments of society, explained Madbouly through a cabinet statement on Tuesday.

These funds allow investors to purchase documents that facilitate investment in gold through licensed banks and companies, reflecting the government’s commitment to developing a comprehensive financial sector that caters to the needs of all citizens.

As of August 2024, the total net assets of gold investment funds have significantly increased compared to July, marking a positive trend for funds such as AZ-Gold, Evolve Gold, and Dahab fund.

The first gold fund, AZ-Gold, was introduced in May 2023, followed by the Beltone Evolve Gold Fund "Sabayek" in January 2024, aligning with new regulations designed to promote such investment vehicles within Egypt's emerging economic landscape.