Oman’s ahli Islamic Money Market Fund

Listed on the Muscat Stock Exchange, the ahli Islamic Money Market Fund invests in a diversified portfolio of market instruments denominated in GCC currencies and the US dollar.

Offered by ahlibank’s Islamic banking window, this first of its kind fund in Oman invests in Sukuk with residual maturity of less than a year, Murabahah, Wakalah, Ijarah, Islamic banks’ deposits and various other short-term liquidity instruments.

Announced officially on the 7th April 2024, this open-ended fund is designed to offer low-risk exposure – to local and regional profit rates – when compared to investing in other asset classes, but it may include credit risk, liquidity risk and market risk to some extent.

This fund’s investment is managed internally by ahlibank’s Asset Management Division, with an approach emphasizing liquidity preservation, capital protection and the potential for returns aligned with prevailing short-term profit rates.

Since the fund’s 1st February 2024 inception date, monthly returns have varied between 4.8% and 5.2%. In the latest fund factsheet, ahlibank said it anticipated returns of around 5% over the medium-term.

Subscription to this fund is open to both local and foreign individuals plus corporate entities, institutions, investment funds and pension funds in OMR500 (US$1,295) increments. The fund’s net asset value stood at OMR1.017 (US$2.63) as at the 30th June 2024.

*Disclaimer: The opinions and viewpoints expressed in the Fund Profile do not constitute as a recommendation for any funds highlighted. The information presented is not investment advice and should not be treated as such.