The IFN Investor Funds Database, the leading intelligence platform on Islamic public fund offerings, added 10 funds in October expanding its universe to 2,783 funds managed by 522 asset management firms, with a combined total AuM of US$408.6 billion as at the 2nd November 2026.
Fund universe expands
New fund launches and partnerships have been led by firms in the Middle East and Africa in October.
In the GCC, Bank Muscat rolled out a new Shariah money market fund. A new Islamic fund offering exposure to Chinese equities is in the works as part of Qatar’s Lesha Bank’s cooperation with China Asset Management (Hong Kong). The fund will adopt an actively managed ‘All-China’ equity strategy targeting sectors including technology, advanced manufacturing, pharmaceuticals and renewable energy. GFH Bank, on the other hand, has closed its US$63 million Shariah compliant Power Systems Opportunities Fund. It has been a busy week for the Islamic investment bank – it entered the aviation segment for the first time by joining Bridgepoint Group and AIP Capital in a venture targeting a commercial aircraft engine portfolio worth more than US$1 billion.
The Kuwaiti Capital Markets Authority has approved Gulf Capital Investment Company’s establishment of the Gulf Sukuk Fund, while the Saudi regulator greenlit the public offering of Saaf Saudi Riyal Murabaha Fund.
Over in Africa, Nigeria’s UTL Asset Management has officially launched a Halal fund. Emirates NBD Egypt will be expanding its Islamic and conventional fund distribution network, having signed an agreement with EFG Hermes to offer two of its equity funds.
Meanwhile in Kenya, Gulfcap Investment Bank’s Ziidi Shariah Money Market Fund is now accessible to investors through Safaricom’s M-PESA platform.
Stronger regulations
It is obvious that Pakistan is positioning itself to become a stronger contender for Shariah investments amid its ongoing transition toward a full-fledged Shariah compliant financial system. The Securities and Exchange Commission of Pakistan has been revamping the Republic’s regulatory architecture: it rehauled its REIT framework as well as introduced a new subclass under its Voluntary Pension Scheme framework which would allow investors exposure to ETFs. This follows a string of regulatory enhancement including the recently enacted Chapter 4A of its regulations governing Shariah compliant securities trading.
Meanwhile in Kyrgyzstan, the central bank has amended regulations to align rules on Musharakah and diminishing Musharakah contracts with amendments to the country’s civil code and international Shariah standards.
The Saudi Capital Market Authority is seeking feedback on proposed amendments to the Investment Funds Regulations and Real Estate Investment Funds Regulations, aimed at stronger transparency and supervisory efficiency.
IMAN under microscope
Meanwhile governance weakness is exposed at one of Central Asia’s best-known Islamic fintech groups, IMAN Invest. Its now-former Shariah adviser, the Islamic Finance Consulting Board, terminated all cooperation with the company, alleging mismanagement of funds, which the firm has denied. This public spat resulted in IMAN Founder Rustam Rahmatov taking a step back from the day-to-day management of the investment firm.
Notable investments
Islamic cross-border investments have been active, with the GCC featuring prominently. UAE-headquartered BlueFive Capital, through its Islamic investment platform BlueFive786, will be entering Southeast Asia through its investment in Indonesian firm Majoris Asset Management.
Meanwhile global asset manager Janus Henderson secured US$191 million in investor commitments at the second close of its Shariah compliant MENA Private Credit Fund IV, representing nearly 64% of its US$300 million fundraising target, with participation from institutional investors and family offices in Saudi Arabia and the UAE.
Private capital is an emerging theme: Dubai-headquartered ASB Capital partnered with global investment firm StepStone to launch the ASB StepStone Private Financing Fund, to provide investors access to a Shariah compliant strategy focused predominantly on senior secured financing to US middle-market companies.
It is also worth noting that MASNA Ventures Sentinel Shield Fund I, Saudi Arabia’s first VC fund dedicated exclusively to the Kingdom’s defense, aerospace and advanced industrial manufacturing ecosystem, is seeking a Shariah compliant status – the fund has appointed Al Marji Advisory Company to provide independent Shariah governance.
Bahraini Islamic institutions made headlines actively deploying capital.
Investcorp Technology Partners, the technology investment arm of Investcorp, acquired a majority stake in Spanish AI-powered marketing automation provider Connectif, marking its first investment in Spain.
Meanwhile, GFH Bank exited from Saber Power Investments, a power infrastructure services platform, generating cumulative net cash distributions of approximately US$173.5 million to investors and a combined net return of more than three times the invested capital. GFH also confirmed that Seef Properties’ independent shareholders approved a whitewash resolution at an extraordinary general meeting on 18th October 2026, clearing the way for Seef Equity Growth Investment, established by GFH Partners Fund Management, to acquire 95.09 million shares representing a 20.67% stake without triggering a mandatory takeover offer.
Preferred funding route
We have seen Malaysian investment managers turning to the Islamic capital market to raise money to support their operations – a reflection of the country’s deep domestic market where Shariah instruments are mainstream.
Al-‘Aqar Healthcare REIT lodged two Sukuk programs while IOIPG REIT Capital is seeking to raise up to RM5 billion (US$1.22 billion) through a Sukuk Wakalah program.
Separately, Permodalan Kelantan, an Islamic investment and social finance institution, auctioned a 10-year Islamic medium-term note.
Tokenization
ADI Foundation, an Abu Dhabi-based non-profit blockchain organization, and digital investment platform Tokinvest will be exploring private credit as part of their real-world asset tokenization MoU, which positions a US$100 million tokenized Sukuk as the partnership’s primary target asset.
Barzah Capital joined the Qatar Financial Centre’s digital assets lab to develop and test a Shariah compliant real estate tokenization model that enables investors to acquire fractional ownership interests in property assets.
The National Sharia Council of the Indonesian Ulema Council is reportedly collaborating with the Indonesia Deposit Insurance Corporation to study Shariah compliant cryptocurrency instruments, with plans to engage the Financial Services Authority on developing a regulatory framework.
Major moves
Former CEO of Bursa Malaysia, Umar Swift, joined Hong Leong Investment Bank as its group managing director and CEO, effective the 1st January 2027, succeeding Lee Jim Leng, who is retiring after more than 17 years with the group.
Maldives Awqaf Investments has welcomed Yameen Idrees – the former managing director of the country’s Hajj fund – as managing director. It also named Sheikh Izzudeen Adnan, head of Zakat House, as chairman.
