In H1 2025, 25 new Islamic funds were launched across various asset classes including money market, fixed income, real estate and equity, according to the IFN Investor Funds Database. Together, these newly introduced funds accumulated a total AuM of US$124.06 million.
As of 20th July 2025, 2,566 public Islamic funds managed by 487 asset management firms, with a combined total of US$519.76 billion in AuM, were tracked.
Expanding Shariah horizons
Saudi Arabia’s sweeping market reforms have reached a new high with its Capital Market Authority (CMA) allowing foreigners to trade directly on the main market, instead of “swap agreements” or other arrangements where investment decisions are made on their behalf.
Further on the Saudi front, UK investment platform Vennre, having recently signed up VC firm Khwarizmi Ventures, is making inroads in the Kingdom while getting ready to launch its fully regulated operations.
Change is also coming to the US Shariah scene as the domestic Islamic market grows on the power of fintech versus the previous environment, where capital largely flowed in from overseas.
Offerings
On the UAE side, Sukna Capital is eyeing a CMA-approved Saudi investment platform that provides investors curated access to alternative asset classes that provides opportunities in VC deals, direct financing, real estate and PE.
Also in the UAE, cryptocurrency trading platform BurjX is introducing Shariah compliant crypto products.
Afrinvest Asset Management has launched the Afrinvest Halal fund, an open-ended Shariah compliant unit trust with a fund size of NGN2.5 billion (US$3.25 million), to invest in Shariah compliant fixed-income instruments, equities and other permissible Islamic contracts.
UK MRP Premier Group and Singapore’s Auspac Investment Management partnered to facilitate cross-border real estate investments that would draw on MRP’s experience in UK real estate development and advisory as well as Auspac’s regional financial expertise.
Bangladesh’s Social Islami Bank signed a pact with the country’s National Pension Authority to support public access to a universal pension scheme through Shariah compliant and tech-driven solutions.
India-based Stride Ventures has marked its entry into the GCC market with the first close of its Abu Dhabi Global Market-registered Fund V that provides Shariah compliant, non-dilutive venture debt to high-growth start-ups across the region.
Malaysia’s largest public sector pension fund, KWAP, appointed Climate Fund Managers and Malaysian investment manager Argos Partners to establish and manage the Shariah compliant Malaysia Climate Infrastructure Fund. The diversified infrastructure PE vehicle aims to accelerate vital climate infrastructure in Malaysia and emerging markets across Asia and Latin America.
Rechanneling
Indonesian investment app Kaya added three US dollar-denominated mutual fund offerings for investors seeking to diversify globally and gain protection against volatility in the rupiah.
Wakaf Masyarakat Singapura, managed by the Islamic Religious Council of Singapore, is to receive pension funds and insurance benefit payouts that will allow Muslims in the country to legacy-designate their contribution savings parked in the Central Provident Fund.
Saudi mall operator Cenomi Centers appointed Rothschild & Co to explore funding options for a US$875 million Sukuk repayment due in October 2026. Cenomi is seeking a debt-equity mixed structure after S&P Global Ratings lowered its credit score due to increased related-party receivables and a delayed payment plan from Alhokair Fashion Retail — a major tenant.
Regulatory action, legalities
The Saudi CMA amended regulations for investment funds that cover expansion of fund unit distribution, setting up of new rules for fund termination and manager dismissal as well as REITs investing in development projects upon founding.
CMA also announced that Cadaa Investment has completed the commencements of ibusiness requirements and is now licensed to conduct advising in the securities business.
Pakistani financial agencies comprising the stock exchange, national clearing company and central depository collectively announced the implementation of a delivery versus free reporting mechanism for the government’s Sukuk Ijarah offerings. Under the move, Islamic banks and commercial banks can maintain trading accounts with securities brokers to execute the Sukuk-related transactions through a platform similar to an over-the-counter market.
Egypt’s Financial Regulatory Authority has opened new financing pathways for SMEs and real estate in the North African country via a suite of decisions related to the licensing and establishment of companies operating in those sectors.
ICB Financial Group of Switzerland has warned of potential international legal action against Bangladesh Bank over a dispute regarding its investment in ICB Islamic Bank. The group lost control of the bank despite purchasing a 53% stake in 2008.
Moves
MBSB Group rebranded MIDF Amanah Investment Bank as MBSB Investment Bank to align its businesses under a unified brand, while turning MIDF Research into MBSB Research to provide market intelligence and economic analysis to support the group and the wider investment community.
Nitasha Shankar has risen to the rank of CIO at Quantum Advisors, which recently launched an open-ended equity fund benchmarked to the NIFTY 500 Shariah Total Return Index.
Wethaq Takaful Insurance Egypt has hired Reda Ahmed as CEO, who brings over 30 years of industry experience including senior roles at Malath Insurance Saudi Arabia, GIG Kuwait and Mohandes Life Insurance Egypt, and as a consultant with Egypt’s Financial Regulatory Authority.
Elmie Aman Najas, previously CEO for a decade at AIA Public Takaful, meanwhile, emerged as new president director at Indonesia’s Allianz Life Syariah.
Halida Nurina turned up as counsel at MHMS Advocates after parting ways with Bank Aladin Syariah, where she was head of legal and compliance.
Amin Abdul Majid has been appointed as managing partner at Zaid Ibrahim & Co, succeeding Gilbert Gan, who moved up to senior partner at the legal firm.
RDS Partnership has appointed Hurriyyah Kamaruzzaman as corporate, commercial and Islamic finance partner, after his prior work at Feroz & Co – where he served as senior legal associate.
Oman’s Bank Nizwa has made Saif Abdullah Rawahi deputy general manager of wholesale banking and promoted Sabri Balhaf to assistant general manager of medium corporate banking. Pakistan Stock Exchange has appointed Farhan Ansari as acting CFO, following a decision by its board.
