Horizons Middle East & Africa Fund Hits Milestone as AUM Surpasses $1.8 Billion

The Horizons Middle East & Africa ETF (ticker: HMEA) achieved a significant milestone on January 12, 2026, with total assets under management reaching $1.8 billion, up from $1.2 billion at the end of 2024. This 50% year-over-year increase highlights strong capital inflows driven by institutional and retail investors seeking exposure to high-growth economies in sub-Saharan Africa and the Gulf Cooperation Council states. The fund’s strategy focuses on large- and mid-cap equities across 15 countries, with weighting concentrated in energy, telecommunications, and financial services sectors. The fund’s performance contributed significantly to its appeal, delivering a 14.3% annualized return since inception through December 2025, outperforming the MSCI Emerging Markets Index by 2.1 percentage points over the same period. Key contributors to gains included robust oil exports from Saudi Arabia and Egypt, rising digital infrastructure investments in Nigeria and Kenya, and improved corporate governance standards in South Africa’s banking sector. Market participants note that HMEA’s success reflects broader shifts in global asset allocation, with more investors diversifying beyond traditional developed markets. The fund now ranks among the top five largest thematic ETFs focused on Africa and the Middle East, competing with similar products like the SPDR S&P Emerging World ETF and the iShares MSCI Africa ETF. Its liquidity has also improved, averaging $90 million in daily trading volume in Q4 2025. Investor demand is further supported by favorable macroeconomic conditions in several core markets, including inflation rates below 6% in six of the 15 covered countries and stable sovereign credit ratings in four nations. As geopolitical risks remain elevated in parts of the region, the fund’s focus on companies with diversified revenue streams and resilient balance sheets has been cited as a key differentiator.