SICO, a leading regional asset manager, broker, market maker, and investment bank (licensed as a wholesale bank by the CBB), has launched the Elzaad Sukuk Fund in partnership with Wafra International Investment Company, the wealth management provider.
SICO will act as the fund manager and Wafra as the investment advisor, with the Central Bank of Bahrain as the regulator. Elzaad Sukuk Fund is a moderate-risk fund that will invest in a diverse portfolio of Sukuk and other Sharia-compliant fixed-income instruments issued by sovereign, quasi-sovereign, and corporate issuers globally.
The Fund will focus on the MENA region, offering clients the opportunity to penetrate global markets. Securing monthly liquidity for investors, the Fund begins investments at a minimum of $100,000, with an expected rate of return ranging from 5.5 percent to 7.5 percent.
Ms. Najla Al-Shirawi, CEO of SICO, commented that, “The launch of Elzaad Sukuk Fund reflects SICO’s commitment to diversifying investment opportunities for clients, leveraging our asset managers’ expertise for stable returns and moderate risk, and expanding our offerings of Shariah-compliant investments.”
The Fund’s primary objective is to maximize total return over the medium to long term, including profit income and capital appreciation. It is largely based on a conservative investment approach, featuring low volatility and steady income, with access to the best-performing Sukuks globally.
According to the statement, “To ensure the prudent governance of the Fund, Shari’ah Review Bureau will be acting as the Shariah advisor, HSBC Bank Middle East as the custodian, and Trowers & Hamlins as the international legal advisor.”
