Iran will see a substantial re-rating of its assets along the same lines as post-Cold War Russia, one investment company has told CNBC.
Sturgeon Capital, which hopes to launch Iran's first multi-asset fund after sanctions are lifted, says both foreign investors and expats are eager to enter the market. They estimate over $100 billion will be repatriated once the sanctions are lifted, adding to a "substantial re-rating" across asset classes, according to the firm's fund presentation.
It will like going back to Russia right after the Cold War and buying Gazprom right from the start, Sturgeon Capital Founder and CIO Clemente Cappello told CNBC's Squawk Box Europe Tuesday.
Investors will want to aim for a mix of both "mega, state-owned monopolies" and small caps, he explained.
"Over the short term it's great to invest in the national champion and hope for a re-rating," Cappello said. But longer term, significant re-ratings will be seen across Iran's "well-managed, smaller, consumer related companies."