AAM investment company to set up an agricultural fund

Avangard Asset Management (AAM) announced the plans to set up a direct investment AGV CIS Agricultural Opportunities Fund, which will focus on the Russian agricultural sector.

So far the size of the fund reached $200M, the names of investors are not disclosed. In two years the size of the fund is to be increased to $1,5B. The rate of return is expected at 12-20%.

The fund will invest not in grown companies, but in totally new and undeveloped projects. Within the year the fund is planning to raise $600-700M, which will be spent on stock-raising projects.