National Bank of Kuwait (NBK) has launched Thahabi Ijara Fund VI, an Islamic Sharia-compliant investment fund in US Dollars, designed specifically to meet the needs of its customers for low risk investments.
According to NBK, the fund seeks to invest all of its assets in the purchase of equipment or purchase portfolios of equipment, and lease the equipment to a variety of tenants. The fund will invest in high quality leases that deal mainly with the large companies in the US and companies with high credit quality.
The equipment portfolios of the fund in terms of type and tenants are diversified, thus reducing the risk rate. The entire portfolio will be invested according to Islamic Sharia principles and under the supervision of the Shariah board.
The fund will be limited to Thahabi customers and the fund’s subscription period has stated on June 6, 2010, and will last for four weeks.
Adel Al Jenaee, assistant general manager for consumer banking group at NBK, said: “The introduction of Thahabi Ijara Fund VI is a result of the great success and demand for our Ijara Fund series, which are proof of our commitment to bring to market high quality, low risk funds.”