TURKIYE: Fund flows by Islamic investors in Turkiye reflect caution over Q4 2024 to Q1 2025 – amid ongoing economic headwinds, with a clear focus on capital preservation and protection against inflation and currency volatility.
Data tracked by the IFN Investor Funds Database showed commodities led the inflows, with total AuM rising by 40.21% to US$13.31 billion – driven by strong demand for gold and precious metals as a hedge. Sukuk continued to attract interest, with assets growing 9.49% to US$1.57 billion. Real estate and mixed income Islamic funds saw similar trends with an approximate 12% rise on both, to US$414.86 million and US$1.3 billion.
Meanwhile, equity Islamic funds declined 5.91% from US$1.2 billion to US$1.13 billion as risk appetites weakened due to rising stock market volatility. The money market Islamic funds also saw a decline of 5.18% from US$2.31 billion to US$2.19 billion.
