Shariah compliant investments charted a major landmark over the past week with the total value of public Islamic funds operating around the globe, as tracked by the IFN Investor Funds Database, surge above US$400 billion and continuing to rise.
Labuan’s Islamic Digital Asset Center, launched in 2022, is also projecting to achieve US$1 billion in Shariah and ESG-compliant digital assets by the end of the year while Ireland has emerged as the largest Sukuk listing venue globally.
Latest deals include Swiss Horizon Capital joining UK-based Shariah compliant investment platform Mnaara as a partner and Canada’s Manzil Invest platform entering the US via its purchase of fintech Aghaz’s technology and regulatory capabilities.
Masraf Al Rayan is buying out the 1.66% stake held by minority shareholders in its UK subsidiary, Al Rayan Bank and alternative investment firm Arcapita secured a US$50 million asset-backed financing facility.
The Islamic fund management sector welcomed the launch of Maybank Islamic Strategic Income Fund, which will invest in ringgit-denominated Sukuk plus liquid assets of Islamic money market instruments and Islamic deposits.
Asset management firm SICO launched a Bahrain-domiciled US$50 million Turkish Shariah opportunities fund and the Ishraq Endowment Investment Fund was launched by four Omani major institutions.
Al Salam Bank is launching a new asset management firm, ASB Capital, with assets worth US$4.5 billion while the Saudi Capital Market Authority granted an investment management license to Hasseef Investment Company and a securities business license to Himmah Capital.
The alternate investment landscape saw InfraZamin backing Sundridge Foods for a PKR2 billion (US$7.19 million) agri-infrastructure Sukuk issuance, with the former’s long-term AAA credit rating providing an additional layer of security to mobilize private sector investments.
Abu Dhabi Islamic Bank will test fractional Sukuk offerings to retail investors while Islamic P2P crowdfunding platform Jana Kapital concluded its testing in the Brunei Darussalam Central Bank’s Fintech Regulatory Sandbox.
Switzerland-based Aleph Zero received Shariah compliance certification for its public blockchain platform. A mobile app was launched to allow investors to subscribe to GFH’s investment funds through digital and crypto wallets.
Pakistan announced the fourth consecutive month of reductions in the profit rates on various national savings scheme certificates, as a result of the State Bank of Pakistan continuing to lower interest rates.
Other significant developments include Al Meezan Investment Management reporting that its assets under management (AuM) reached PKR631 billion (US$2.27 billion), becoming the first company to cross PKR600 billion in AuM in Pakistan. Wahed Invest settled charges with the US Securities and Exchange Commission.
INCEIF University President and CEO Dr Azmi Omar was appointed to the IsDB President’s International Advisory Panel. Pakistan Stock Exchange appointed Farrukh H. Sabzwari as its new CEO. Islamic cooperative bank Bank Rakyat promoted Deputy CEO Ahmad Shahril Mohd Shariff to be acting CEO while Salama CEO Walter Jopp is resigning.
