“Doha: “International Sukuk Portfolio” is likely to be a wonderful product which has been recently launched as a new investment product by the Qatar Islamic Bank (QIB), the leading Islamic bank in Qatar.
During the launching ceremony, it was said that this will be QIB’s new flagship product aiming to introduce investors to the long-neglected Sukuk asset class.
QIB capitalizes on the group’s strong expertise in the Fixed Income market to offer customers the opportunity to diversify into sukuk. The product will be managed on a discretionary basis by a team of experts from QIB-UK.
QIB believes that aligning the Investment Manager’s approach with investor interest is key to creating a mutually rewarding long-term relationship. The Product’s philosophy is therefore designed to pay close attention to this belief ensuring that client objectives are met at every stage: Income generation, downside protection and upside participation.
The portfolio will be managed by QIB’s subsidiary in the United Kingdom QIB-UK, which has a long experience in Asset Management with a very successful track record in the Islamic Fixed income space. QIB-UK currently manages one of the largest Shariah compliant Sukuk fund with $220m of Assets under management (AUM) giving 30 percent returns since inception in 2009 and beating the benchmark by 20 percent over the same period.
The International Sukuk Portfolio invests predominantly in global Sukuk issued by sovereign, quasi-sovereign and corporate issuers using well defined Investment guidelines, designed to keep risk exposure under control.
The Portfolio aims to provide investors with returns by investing predominantly in global Sukuk markets – with the exception of the Qatari market. Emphasis will be on income, with the additional prospect of capital appreciation.
The product will cater for any investor’s basic needs namely; Liquidity, Diversification and Profit distribution. Liquidity will see that the International Sukuk Portfolio is priced and available for trading on a weekly basis. Diversification ensures that the Portfolio is diversified across sukuk issuers, a wide sector split and a broad geographic allocation. Profit distribution aims to distribute part of the profits on a quarterly basis to investors.