ICM South Asia Small Cap Fund

ICM South Asia Small Cap Fund - A Compelling Income Opportunity in South and Southeast Asia

The ICM South Asia Small Cap Fund (ICM SASC) provides access to a concentrated portfolio of high-quality, dividend-paying, small and mid-cap companies across South and Southeast Asia. The strategy seeks to generate an attractive and growing income stream alongside long-term capital appreciation by investing in businesses with strong competitive positions, robust balance sheets, high returns on capital and experienced management teams.

ICM SASC’s income focus is underpinned by disciplined capital allocation, resilient earnings and sustainable payout ratios, supporting the potential for both attractive income and growth over time.

After more than a decade of emerging market underperformance, many companies across South and Southeast Asia trade at attractive valuations despite strong fundamentals. As global investors increasingly seek income in a lower-growth world, the region offers a compelling combination of yield, value and long-term growth potential.

The portfolio is currently forecast to deliver a dividend yield of 7.2%, positioning it as a differentiated source of equity income within Asia.

ASEAN markets are an especially attractive source of income, offering a combination of compelling valuations, shareholder-friendly capital allocation and attractive dividend payout ratios. Combined with exposure to the structural growth opportunities available in India, the portfolio seeks to deliver an attractive blend of income today and capital appreciation over the long term.

ICM SASC combines four core investment pillars:

Quality
Yield
Value
Growth

This disciplined approach seeks to identify enduring businesses capable of compounding income and intrinsic value creation over the long term.

Investment Objective

ICM SASC aims to generate superior long-term capital growth and income by investing in a concentrated portfolio of listed small and mid-cap companies in South and Southeast Asia.

Why Invest in ICM SASC?

Attractive Income Stream

Forecast portfolio dividend yield of 7.2% for 2026, supported by businesses with strong cash generation, disciplined capital allocation and sustainable payout ratios.

Value in Overlooked Markets

Many South and Southeast Asian small and mid-cap companies continue to trade at attractive valuations despite improving fundamentals and growing investor interest.

Quality Businesses

Average portfolio ROCE of 41% reflects a focus on market-leading companies with durable competitive advantages and disciplined management teams.

Strong Earnings Growth

The portfolio is expected to deliver approximately 15% annual earnings growth over the medium term, supporting both growing income and long-term capital appreciation.

Diversification Benefits

Exposure to a broad range of economies and industries across South and Southeast Asia with low correlation to developed market equities.

Specialist Expertise

Managed by a highly experienced Asian equities investor with a long track record of identifying high-quality small and mid-cap opportunities across the region.

Risk Management

Capital preservation is central to the investment process.

Key portfolio guardrails include:

25 – 35 holdings
Maximum 10% position size
Maximum 40% country exposure
No portfolio leverage
Investment Committee oversight
Capacity constrained
Growth

Investment Manager

Rory Dickson joined ICM in 2026 and he is the Portfolio Manager of the ICM South Asia Small Cap Fund.

He has more than two decades of experience investing in Asian equities and previously launched and managed the award-winning Chikara Asian Evolution Fund. Earlier in his career, he held senior investment roles at Arisaig Partners and gained private equity experience in Hong Kong.

Rory is a Scottish Chartered Accountant and is recognised for his deep regional relationships and disciplined, long-term investment approach.

Rory Dickson

Alignment of Interests

The Manager invests alongside clients in the Fund.

Performance fees are reinvested with a 36-month lock-up, reinforcing long-term alignment and a shared focus on sustainable returns.

Investor Profile

ICM SASC is designed for long-term investors who:

Seek differentiated exposure to South and Southeast Asia
Can tolerate short-term volatility and limited liquidity
Share a long-term investment horizon

Register Your Interest

The information on this webpage should not be considered an offer or solicitation to deal in ICMGF INNOVATION VCC - ICM South Asia Small Cap Fund (Registration number T23VC0027A-SF003) (“ICM SASC”). This information is intended solely for accredited and institutional investors as defined under the Securities and Futures Act 2001 of Singapore. ICM SASC is a registered sub-fund of the ICMGF INNOVATION VCC (the “VCC”), a variable capital company incorporated in the Republic of Singapore. The assets and liabilities of ICM SASC are segregated from other sub-funds of the VCC, in accordance with Section 29 of the Variable Capital Companies Act.

All investments carry risks, including the risk of loss of capital, and may not be suitable for everyone. The information on this website is solely for information purposes and is not intended to be, and should not be construed as, an offer, solicitation or recommendation to buy or sell investments. If you are in any doubt as to the appropriate course of action, you should consult your own independent tax/financial adviser, stockbroker, solicitor, accountant or other professional adviser. Past performance is not necessarily indicative of future performance. Investment return and principal value will fluctuate, and investors may not recover the full amount originally invested. The information contained herein has been obtained from sources believed to be reliable; however, no representation or warranty is given as to the current accuracy, completeness, or reliability, and ICM SASC accepts no liability for decisions taken based on such information.

This advertisement or publication has not been reviewed by the Monetary Authority of Singapore.