IFN Investor Monthly Round-up: September sees surge in Shariah asset confidence

The IFN Investor Funds Database has grown to tracking a combined total of US$676.1 billion in AuM as of the 6^th October 2025. The database recorded 2,575 public Islamic funds managed by 493 asset management firms.

This outlook came amid the backdrop of rising values in US equities tracked by the S&P500, turning “the impossible” into “possible” in September and hitting multiple record highs in a month historically known as being the worst for stocks. The bullish fervor spread from New York to Kuala Lumpur, benefiting Shariah equities and deal-making too.

The recent surge in physical gold prices has resulted in the SPDR Gold Shares ETF by State Street being ranked among the top 10 in the World Gold Council’s list of entities with the largest holdings – as this fund’s total gold holdings stood at over 980 tonnes in early September 2025. 

Pushing for growth

For Athens, UK PE firms Valpre Capital and Vennre Capital joined hands to tap the booming Greek hospitality market, with a real estate investment opportunity aimed at the rising ranks of wealthy individuals described as HENRYs (high earners, not rich yet).

GMW Capital launched Kazakhstan’s first Shariah compliant PE mining fund, aiming to leverage off geological findings by the former Soviet Union administration to validate deposits where valuable mineral resources can be extracted. 

In Nairobi, Ascent Capital planned a Nigerian SME fund where investors can participate in supporting SME growth and benefit from profits earned the Shariah way – that will flow back as dividends.

Malaysia’s Asia Vision Capital is seeking greater foreign investment for its Quayside JBCC mixed-use development in the Johor-Singapore Special Economic Zone, which will boast a gross value of RM600 million (US$142.1 million). The Halogen Shariah MYR Liquid Fund is aimed at sophisticated investors with its two-minute exit plan for those wishing to redeem their money quickly.

Former Investcorp CEO Hazem Ben-Gacem’s dream of reshaping the Shariah PE landscape is taking off with his new enterprise BlueFive Capital, which has raised US$6 billion in 10 months.

Baghdadi Capital and its wholly-owned Tamwuil Capital are Madrid-headquartered Shariah compliant asset management firms that offer investment opportunities by seeking to aid the operations of firms in the logistics, food and beverage as well as pharmaceutical sectors. 

Atlanta firm Deenvest Capital is capitalizing on the concept that the US property investment market, historically fueled by debt and leverage, is ready for something entirely different: a Shariah compliant model that operates with zero debt, zero gearing and zero apologies. 

Regulatory initiatives

Dubai Multi Commodities Centre unveiled the DMCC Wealth Hub, establishing a comprehensive management platform for family offices, private capital groups, proprietary traders and associated service providers.

The Bahrain Bourse selected UAE-based Al Ramz Corporation, which manages a Shariah compliant fund, as financial consultant to assist in developing a capital market plan aligned with the Bahrain Economic Vision 2030.

Foreign investors will soon be permitted to legally import gold bullion into Iran. However, the subsequent sale of the metal must be executed exclusively through regulated exchanges, such as the Iran Mercantile Exchange or the Currency and Gold Exchange Center.

Nigeria's Securities and Exchange Commission has mandated that fund managers adjust the valuation of fixed income funds to reflect daily market-based prices. A two-year grace period was granted, effective the 22^nd September 2025, to improve market clarity.

Social benefit focus

The Pakistan Stock Exchange proposed an amendment to the Companies Act 2017 to introduce Section 42A, which would allow for the licensing and regulation of Waqf management companies.

Dhofar Islamic of BankDhofar plans to encourage the development of the currently limited Waqf sector in Oman, providing Islamic financial tools to convert inactive assets into sustainable funding sources for social welfare.

Guidelines issued by the Securities Commission Malaysia opens doors for the establishment of social exchange platforms to attract investments and donations for socially beneficial causes, adopting the Maqasid Al-Shariah Guidance for Islamic Capital Market. 

Malaysia’s national Waqf foundation is preparing to introduce a Waqf-linked Sukuk designed to broaden the sources of capital available for various Waqf projects.

Bank Syariah Indonesia and the Central Management of the Gadjah Mada University Alumni Family have inaugurated a joint initiative for Waqf deposits, targeting a total collection of IDR10 billion (US$603 million).

Indonesia’s Education Fund Management Board and the Muhammadiyah Higher Education Council are contributing IDR10 billion (US$607,575) each into a pooled research endowment fund – which will be managed by the latter’s parent body. 

After setting up Oman’s first institutional Waqf in early 2024, which has seen its AuM more than double since, Ubhar Capital was catalyzed to convert its existing conventional fund to be Shariah compliant as well. 

The GBP5 million (US$6.7 million) Local Access Bradford Fund is the UK's first Shariah compliant social investment fund. Delivered by Key Fund and Impact Hub Yorkshire, it provides zero-interest loans to underserved social entrepreneurs, with a specific focus on Muslim-led enterprises. 

Maybank partnered with Nanobank Syariah to offer the Sharia Restricted Investment Account – which allows investors to allocate funds to specific sectors in line with values and objectives. This partnership has already secured commitments for a total value of IDR150 billion (US$9.1 million).  

AgriNext unveiled the AgriNext Musharaka Fund, an Islamic investment structure designed to support small and medium-sized farmers in Bangladesh through equity-sharing partnerships.

Deals and partnerships

Sovereign fund Abu Dhabi Investment Authority signed a deal with global investment firm KKR and the Canada Pension Plan Investment Board to retain its 10% stake in Sempra Infrastructure Partners, one of North America’s leading energy infrastructure platforms. KKR will end up owning 65% of Sempra after buying an additional 45% stake interest in the company for US$10 billion. 

Ajyad Capital of Bahrain formed an alliance with London broker Exante to broaden client access to a wide array of global financial instruments. These offerings will be featured on Ajyad Capital’s upcoming Shariah compliant digital investment platform.

Riyadh-based Sukna Capital collaborated with the global lending firm Partners for Growth to extend up to US$50 million in specialized Shariah compliant financing to technology companies and SMEs across the Middle East and Saudi Arabia.

Gulf Capital Investment Company is offering its clientele Shariah compliant opportunities in US real estate via a partnership with Investcorp – with a focus on existing and future light industrial and student housing sectors. 

UAE Shariah compliant firm Investcorp announced the US$365 million disposal of its industrial property collection in the US comprising 3.5 million square feet of space in cities like Chicago and major hubs in Ohio.

The digital trading platform of Boubyan Capital added the Shanghai Stock Exchange, Shenzhen Stock Market and Hong Kong Stock Exchange – giving clients access to more Shariah compliant stocks in major global markets after the GCC, Egypt, Europe, the UK and US. 

Islamic alternative investment firm Arcapita sold nine logistics and manufacturing properties in Indianapolis, covering a total area of 1.5 million square feet, to logistics specialist Capital Partners for an undisclosed value. It also acquired a majority stake in US firm C&K Paving. 

Oman REIT acquired for OMR4.1 million (US$10.65 million) a retail asset located in Wilayat Ibra, to be single tenanted by Lulu hypermarket with a 20-year lease term. The money largely came from a OMR16.17 million (US$42.02 million) 14-year Islamic facility provided by the National Bank of Oman. 

Lesha Bank announced a QAR182 million (US$50 million) investment, through an entity managed by the bank, in a PE global secondaries fund.

Digital developments 

Singapore's inaugural Islamic token, Gitcoin, launched with 100 million ERC-20 tokens grants holders rights to certain projects and activities across Asia, starting with major provincial initiatives in China. 

The Central Bank of Iran released a draft of the ‘Rules for the Establishment, Activity, Dissolution and Supervision of Cryptocurrency Brokers’ while Qatar Financial Centre launched a blockchain-based proof of concept through its Digital Asset Lab – to advance technology application in Islamic finance – developed together with AlRayan Bank, Blade Labs and Hashgraph. 

Sabika, an Egyptian online platform specializing in Shariah compliant services for gold and investments, secured a six-figure US dollar funding round led by M-Empire Angels, intended to fuel its expansion across Egypt and the Gulf.

UK Shariah compliant real estate development and investment company, Sama Investments, acquired Yielders – a fintech offering fractional ownership in properties. 

Over in the Emirates, P2P digital lending platform Beehive signed a non-binding offer with Saudi–licensed crowdfunding platform Themar for a partial merger, pending regulatory approval. The transaction, concluded in Dubai, aims to create a regulated Shariah fintech lender in Saudi Arabia. 

UAE data analytics company Presight has designated Shorooq to oversee a new US$100 million global AI innovation fund that will target the next wave of AI development, spanning geographic areas from Silicon Valley to Southeast Asia.

SNB Capital sealed a cooperation agreement with the investment fund Wa’ed Ventures to provide consulting services to Wa’ed’s fast-growing portfolio firms and to jointly explore investment opportunities in the technology start-up segment.

AI portfolio company Figure AI, in an alliance involving Shariah compliant alternative investment firm Arcapita Group and US-based Parkway Venture Capital, secured over US$1 billion in capital commitments as part of a US$39 billion Series C financing round. 

Saudi-based Shariah compliant P2P financing platform MoneyMoon secured US$2.9 million with Core Vision as the lead investor, alongside various angel investors and family offices, while alternative financing platform Erad secured US$33 million in debt financing – where Indian venture debt fund Stride Ventures led the deal – to expand its operations in Saudi Arabia and the wider GCC. 

Dedicated to early-stage fintech and related service investments in the MENA region, VentureSouq successfully completed the closing of its second FinTech Fund. Abu Dhabi VC firm Phoenix Venture Partners announced that it participated in the Series B fundraising round by Islamic investment fintech Wahed, while anb capital and Lexham Partners launched a US$200 million fund to back select MENA technology companies – at the growth and pre-IPO stages.

Saudi fintech Tamara, which offers Shariah compliant solutions, secured an asset-backed facility worth up to US$2.4 billion – the largest of its kind in the region. Another Saudi fintech LDUN, providing factoring solutions to MSMEs, closed a US$4.8 million seed round led by Sadu Capital, with participation from Suhail Ventures and Nomu Angel Investment.  

The Central Bank of Bahrain’s Shariyah Review Bureau confirmed that XRP meets Shariah compliance requirements, certifying the cryptocurrency’s suitability for Islamic financial services.

Football and digital Islamic finance became one as soccer stars Arnaut Danjuma, Zakaria Aboukhlal and Yunus Musah emerged as the latest shareholders and global ambassadors of Islamic fintech Wahed, joining global sports icons Khabib Nurmagomedov and Paul Pogba.  

Approvals

Bank of Abyssinia officially completed registration with the Ethiopian Capital Market Authority to begin operating in the investment banking segment. Bahrain Bourse approved Shariah compliant investment firm Ajyad Capital as a broker-dealer in the exchange. The move brings the total number of brokers authorized by the exchange to 10. 

Fund placement firm Greenstone, supporting family offices and institutional investors, with over US$100 billion raised across the alternative investment spectrum, was granted an operating license by the Dubai Financial Services Authority.  

Ascent Capital obtained a license from The Securities and Exchange Commission of Nigeria to provide Shariah compliant investment products. Kuwait’s Warba Bank got a special license to privately market shares of the Warba Data Center Development Fund. 

In Saudi Arabia, the Capital Markets Authority (CMA) gave its official consent for the public launch and sale of the Nusuk Endowment Fund managed by Al Rajhi Capital and the public offering of Tam Capital’s Tam Murabaha & Saving Fund.

The CMA also approved Rushd Capital Company to begin operations in the securities arranging business within the Kingdom, granting an investment and fund management license to Sadara Capital to operate financial services and investment advisory plus approving robo-advisory company Abyan Capital to conduct investment, custody and securities management operations. 

Other initiatives 

Ziraat Katilim Bank formally applied to the Capital Markets Board of Turkiye for what will be the first public offering of a participation bank in Turkiye. Pakistan’s Image REIT Shariah compliant IPO launched with a total of 92.02 million units priced at PKR10 (US$0.035) each, with minimum bid set at PKR1 million (US$3,532). 

Sweden-based bullion logistics and storage handler Loomis Group is exploring how it can enhance Shariah aspects for back-end handling of gold assets, having started discussions with Bursa Malaysia. 

Boubyan Bank initiated a novel program to issue Shariah compliant deposit certificates valued at a total of US$2 billion, reportedly the first of its kind offered by a Kuwaiti financial institution.

The Rahbar Sanaye Mehrgan Sector Investment Fund – an ETF invested in equities of chemical sector firms – was listed on the Tehran Stock Exchange on the 15^th September 2025. 

Asset manager Wise PE highlighted that the tax-exempt status for investment holding companies in Malaysia’s Labuan International Business and Financial Centre is increasingly drawing wealthy individuals and family offices to shelter their long-term wealth there and avoid high estate taxes.

Investors in Pakistan have shown interest in acquiring a controlling stake in Islamic investment vehicle First IBL Modaraba.

People news 

Malaysia’s PMB Investment, an Islamic fund management firm with Pelaburan MARA, promoted Hang Tuah Amin Tajudin from chief investment officer to be its new CEO from the 7^th September 2025. L’azurde, a Saudi-based jewelry manufacturer, received Shariah certification. 

UK private market investments fund manager Vennre appointed Carl Jabbour as COO, picking him from lender Fiduciam, where he was COO and head of investor relations. 

Former Investree co-founder and chief executive Adrian Asharyanto Gunadi is to face charges of misappropriation from the P2P lender after being repatriated from Qatar to Indonesia.