Shiraa Funds are a range of innovative products investing into a selection of global sharia-compliant funds and spanning across international equity and sukuk markets with the objective to deliver sustainable and attractive long-term performance to QIB clients.
Bassel Gamal, group chief executive officer of QIB, commented: "Shiraa Funds will bring a number of benefits to investors including the choice of the most suitable fund for each client, best in class investments. The funds enjoy the best performing sharia-compliant investment vehicles available to investors and active management, as Shiraa Funds are being actively managed by Qinvest, thus ensuring on-going monitoring and analysis of current and potential investments."
Tamim Hamad Al-Kawari, chief executive officer of QInvest, added: "These new products are very much in line with the new strategy for our asset management division which was recently announced. This cooperation with our largest shareholder QIB, is a testament of the benefits of the new strategy. I am confident that this will continue to deliver value for clients and shareholders in the months and we will continue to work more closely with QIB, the leader in Islamic banking solutions."
Al-Kawari added: "We have been pleased to build the Shiraa Funds for QIB, using our distinctive QInvest Managed Account Platform (QMAP). In the coming years, diversified portfolios such as Shiraa Funds which have exposure to multiple return drivers are expected to have a strong performance."
The Shiraa Funds will be initially offered to QIB’S private, tamayuz and wholesale banking clients. Shiraa funds' main advantage is that clients can choose which fund to invest in depending on their preferred risk and return profile. Each of the options offers a different type of potential return and hence carries a different level of associated risk:
- Shiraa Defensive Fund: focuses strongly on capital preservation with a low level of risk
- Shiraa Moderate Fund: achieves competitive returns by taking a moderate level of risk
- Shiraa Long-Term Fund: accomplishes higher returns by taking higher levels of risk
The Shiraa Funds will be managed by the asset management team of QInvest. The Shiraa Funds will be made through the QMAP which was launched last year and offers a highly diverse product range for sharia-compliant investors globally.
QMAP is unique in that it is the first fully sharia-compliant managed account platform, which allows the team to build and distribute custom products for clients across multiple asset classes. It provides investors with the opportunity to select from a range of high quality sukuk and equity funds that are managed by top tier professional teams.