The IFN Investor Funds Database, the leading intelligence platform on Islamic public fund offerings, recorded 2,733 funds managed by 516 asset management firms, with a combined total AuM of US$444.77 billion as at the 8th June 2026.
Amid market turbulence coloring Q1 2026, Islamic index funds painted a positive picture for general equities as they recorded larger valuations: on a quarterly basis, AuM of Shariah index funds were up 13.75% while on a yearly basis, they were up almost 91%.
Moving the spotlight over to Saudi Arabia, the Kingdom proved its mettle as a vibrant Islamic investment market with general upward momentum across most asset classes – while fixed income and real estate funds suffered slightly in the first three months of the year, Saudi’s Islamic fund industry was comfortably bolstered by money market funds, equity and commodity funds.
Expanding universe
Market players are showing no signs of slowing down even as we move closer to closing the curtains on H1 2026.
New funds hit the market: Lunate launched a new Islamic ETF, Al Rajhi Capital unveiled yet another equity fund while Nigeria’s Alpha10 made a splash with a new Halal investment fund. Nigeria caught out attention this week as a local consultancy confirms it is working on an initiative to help mobilize international financing and investments for Nigeria’s Halal economy.
The Halal economy was also the focus of a bilateral cooperation between Indonesia and Oman as two local entities joined hands to cultivate sustainable investment partnerships across different Halal sectors.
Meanwhile the fraternity is growing: Sukoon Insurance secured a mainland fund administrator license which it used to launch a new pension solution in the UAE. Two Pakistani brokers set up Islamic brokerage windows, a clear sign of players preparing to embrace the Republic’s turn to full Shariah compliance by 2028.
Major appointments
This past week has been a week of significant reshuffling of management: following the mass exodus of senior officials, Bangladesh Securities and Exchange Commission named a new chairman along with three new commissioners as replacements. Pakistan’s National Modaraba Management Company put in place a new board of directors while Saudi Arabia’s Gulf Union Al Ahlia Cooperative Insurance Company appointed a new chair for its investment committee.
Enhanced equities landscape
Several stock exchanges completed the reconstituting their Shariah indexes following their semi-annual reviews including that of Pakistan, Palestine and Malaysia.
Meanwhile the Saudi Exchange Company amended its regulatory framework for securitization activities around the same time as the Securities Commission Malaysia overhauled its equity guidelines.
