Abu Dhabi: A topnotch bank in the United Arab Emirates, National Bank of Abu Dhabi (NBAD), has announced the dividend of NBAD Sukuk Income fund at the rate of 1.76 percent to the investors as the fund has returned 4.78 percent since its inception.
According to the declaration by NBAD, it will distribute 1.76 percent dividend payment to the investors. This is NBAD Sukuk Income Fund’s first payout since it was launched six months ago and all registered holders of the Fund on November 28, 2012 are eligible for the dividend distribution.
The distribution will equal 1.76 percent of the Fund’s net asset value (NAV) as of November 29, 2012 (1.84 percent based on the initial NAV of $5) and equals to a total return of 4.78 percent since its inception.
“We are extremely pleased with the levels of income and the total return that we have been able to deliver to investors,” said Mark Watts, the Head of Fixed Income at NBAD’s Asset Management Group.
“Through the NBAD Sukuk Income Fund we are able to offer a product that delivers good income with low volatility, this is especially important as clients are facing declining deposit rates from the wider banking sector,” he added.
The NBAD Sukuk Income Fund is an open-ended and actively managed product and distributes income semi-annually. The Fund’s structure and its investments are regularly reviewed by the well-known Shariah scholar, Sheikh Nizam Yacquobi, of Bahrain to ensure continued adherence to Shariah principles. It is open to institutional and individual investors who can invest as low as $500 either through lump sum or regular savings plans.
The Fund is designed to capture the best opportunities available to investors by investing in a range of Sukuk and Islamic money market investments that are issued by the UAE Government; government-related entities and selected corporates, mainly from the UAE and wider MENA region. The Fund, which is managed by NBAD’s Asset Management Group, the region’s premier asset manager, aims to maximize income in a risk-controlled manner.
NBAD’s Asset Management Group is a winner of many accolades and awards. Recently, it was named Fixed Income Fund Manager of the Year by Global Investor magazine. Other awards include the Best Asset Management House in Middle East for Islamic products at the International Takaful Awards, the UAE Asset Manager of the Year in MENA Fund Manager Performance Awards from Mena Fund Manager magazine and last year’s Best Asset Manager in the UAE, also from Global Investor.
NBAD’s award-winning Asset Management Group controls assets in excess of AED5 billion, making it one of the largest of its kind in the United Arab Emirates.