Doha • Qatar Islamic Bank (QIB) yesterday launched two Islamic investment funds titled 'Al Sanabel A and B'. The funds hope to collectively mobilise QR2bn (maximum) and minimum investment for both 'A' and 'B' categories is QR50,000.
The funds are targetting both Qatari and non-Qatari investors. Fund 'A' is for Qatari investors, while Fund 'B' is for non-nationals, both individuals and corporate.
The funds will invest in Shariah- compliant Qatari stocks under the supervision of QIB's Shariah Supervisory Board.
They offer attractive opportunities to investors to take part in the exceptional growth in the Qatari capital market.
The funds will be managed with a view to generating returns exceeding the market index, subject to Qatar Central Bank rules regulating joint investment funds.
The funds are to be open-ended after an initial lock-in period of three months during which redemption will not be allowed.
The investment in each of the funds is to be denominated in units with each unit having the face value of QR10.
Investors can subscribe or redeem the units on a monthly basis. Each calendar month will be the valuation period.
The funds will invest in assorted publicly traded stocks of companies undertaking Shariah-compliant activities.
Salah Al Jaidah, QIB's CEO, said at a news conference yesterday the funds offer a great opportunity to investors to enter the strong and regionally active Qatari market.
He expects the two funds to realise high returns, "in tune with all the other distinctive products offered by QIB".
The fund is to be managed by Global Investment House (Global). With QIB as founder and Global as manager, the partnership constitutes one of the main features of this venture.
It will allow QIB to benefit from Global's experience in the region and its excellent track record in managing Islamic products, said Al Jaidah.
The funds will have a medium to long-term view to exploit the growing national economy, available liquidity, active inter-bank competition and the fast-expanding corporate activities, the CEO added.
Muhsen M Al Harbi, CEO of Global Investment House (Qatar), said "the synergy between the new funds, 'Global's' in-depth experience in managing investment funds, and assets over $8.4bn, in addition to its strong presence in Qatar and the rest of the GCC, create the perfect vehicle to reach the funds' strategic objectives".
He pointed that 'Global' currently manages over 33 investment funds of its own and has a long proven record in investment banking that goes beyond the Gulf region. "It's these tools that help us understand the needs of our clients at both ends of the spectrum," he said.