Friday, September 12, 2014

CIMB Principal Asset Management - Best Asset Manager in South East Asia (2010-2013)

To invest in the best ISLAMIC unit trusts esp. managed by CIMB Principal, please Call/SMS/WhatsApp: +60192348786 (Sanusi CWA KL) or +60193849330 (Rozanna CWA KL)

Thursday, September 11, 2014

RM354.7 billion under unit trust management in Malaysia as at July 2014

The Securities Commission (SC) said the country's unit trust industry has a net asset value (NAV) worth RM354.73 billion under their management as of July 31, 2014.

The amount is a 7.8% increase compared to the RM328.95 NAV the industry posted a year ago in July 2013.

The latest figure represents a 19.89% in NAV of the market capitalisation of Bursa Malaysia Bhd.

About 87.2% or RM309.35 billion of the total industry NAV are conventional funds and the balance Islamic-based.

As at Jan 31, there were 37 approved fund managers. The number of approved funds were 612, which included funds that were approved but not yet launched, with 426 of these funds conventional while the others were Islamic.

For the seven months of 2014, 600 funds were launched with 407.37 billion units in circulation.

Meanwhile, SC said wholesale funds up to July 31, 2014 had a NAV of RM64.3 billion, representing 3.6% of the market capitalisation of Bursa Malaysia.

The amount 40 approved managed by unit trust management companies (UTMC) in July 2013 was RM58.2 billion.

Up to July 31, 2014, there were 237 approved funds where 166 were conventional and 71 were Islamic-based.

The amount managed by conventional unit trusts was RM46.77 billion while another RM17.52 billion was managed by Islamic unit trusts.

-------------------

Consulting/Training: http://alfalahconsulting.com

CEO/Consultant: http://ahmad-sanusi-husain.com

Islamic Investment: http://islamic-invest-malaysia.com

Tuesday, April 8, 2014

Summary - Islamic unit trust (mutual funds) investment

Type of investment: Islamic unit trust funds (more than 20 Islamic funds)

Unit trusts marketed by : CWA (CIMB Wealth Advisors)

Asset management company: CIMB-Principal Asset Management

Syariah consultant: CIMB Islamic Syariah Advisory Committee

Estimated average returns (capital gain + dividend): 15-25% p.a … based on past years performance (insyaAllah)

Methods of investment:

i) CASH investment

ii) Monthly or regular investment

iii) Withdrawal from EPF (KWSP) - account 1

Minimum investment: RM500 (It's advisable to invest in at least 3 funds: therefore the recommended minimum amount is: RM500 x 3 = RM1,500)

Maximum: (n/a)

Withdrawal/Redemption: at any time (5 days notice)

Who can invest?

i) Individuals or corporations

ii) Residents or non-residents of Malaysia

CWA is a top unit trusts marketing company, a marketing arm to CIMB Principal Asset Management which is a subsidiary of CIMB Group...the second most valuable listed company in Malaysia (market capitalization of more than RM80 billion).

For further info please contact your professional Islamic investment and financial consultant based in Kuala Lumpur or fill up the info request form below.

► www.unit-amanah-islam.com

The web site for CWA ► www.cwealthadvisors.com.my

Thursday, December 26, 2013

EPF sets RM196,800 as minimum savings at age 55 starting January 2014

KUALA LUMPUR, Dec 26 — The Employees Provident Fund (EPF) has reminded its members on the new quantum Basic Savings set at RM196,800 as the minimum amount that must be in their EPF account by the time they reach the age of 55, effective next month.

EPF general manager for public relations, Nik Affendi Jaafar said the new rate was benchmarked against the minimum pension for public sector employees, currently at RM820 per month for a period of 20 years from the age of 55 to 75 years.

He said the rate would be reviewed every three years based on retirement needs, inflation rate and the cost of living.

“By taking into account the rising cost of living, life expectancy of Malaysians which is long and the rate of inflation, we have decided to increase the Basic Savings to ensure 13 million members have sufficient savings to enjoy a sustainable retirement,” he said in a statement, here, today.

He said the current Basic Savings of RM120,000 at the age of 55 (RM500 per month for a period of 20 years) might not be enough to cover the retirement of EPF members as it was below the poverty line income.

He said EPF statistics showed that 71 per cent of EPF members retired at the age of 55 with savings of less than RM50,000 in their EPF account.

Nik Affendi said the revised rate required members to have higher savings in their EPF account to be eligible to participate in the EPF Members Investment Scheme where savings could be invested in unit trusts.

“This is to ensure that members have sufficient savings in their EPF account when they retire in order to support their basic retirement needs before they can choose to invest in other schemes,” he said.

Among the initiatives introduced by EPF to boost members’ retirement savings is an employer contribution rate of 13 per cent for workers earning RM5,000 and below.

“Besides that, full EPF contribution rate for employees up to age 60 and flexible withdrawal at age 55 allows members to extend their savings for a longer period,” he said.

To help members plan for their retirement, Nik Affendi said EPF would introduce financial advisory services for members next year with a pilot project in the Klang Valley before being extended nationwide in the next three years. —Bernama

-------------------

Consulting/Training: http://alfalahconsulting.com

CEO/Consultant: http://ahmad-sanusi-husain.com

Islamic Investment: http://islamic-invest-malaysia.com

Wednesday, May 22, 2013

New proposal for Islamic investment funds

It is time for Islamic investment funds to start offering some real value addition to investors beyond just Shariah compliancy. Islamic investing so far has by and large been concerned with assurance of Shariah compliancy by screening out forbidden activities (such as gambling, interest-based financial services, liquor, pork and adult entertainment); it also excludes some other activities deemed undesirable for social responsibility or political correctness (like tobacco and arms).

In addition, it also ensures that balance sheets of the companies chosen are in compliance with Shariah. There is, however, a growing need for a detailed set of rules and regulations to be developed to categorise Islamic investment funds into merely Shariah-compliant and purely Islamic funds.

As a starting point in this direction, a fund may be called a Shariah-compliant fund if:

1. It does not invest in the companies involved in production, distribution, marketing and sale of Shariah repugnant goods and services; and

2. It does not get involved in Shariah-repugnant activities to conduct its finances (both in raising and deploying funds).

A fund may be categorised as an Islamic fund if:

1. It is Shariah-compliant in its product offering and in terms of its finances and operations, and;

2. It promotes any or all of the broader objectives of Shariah, which include promotion of the well-being of all mankind in terms of safeguarding faith, life and self-esteem, intellect and human capital, and posterity and wealth.

The term Islamic Shariah funds industry can be used for both Shariah-compliant and Islamic funds.

While a Shariah-compliant fund may not take a political view on its investments, it is important that an Islamic fund ensures that its investment strategy promotes at least one of the objectives of Shariah.

Thus, prohibition of investing in companies that support movements and ideologies against Islam and Muslims may fall under screening of Islamic funds. On a company level, while a stock like Starbucks Corp can be included in a Shariah-compliant fund (if it comes out of the chosen Shariah screens successfully), it must not be included in the portfolio of an Islamic fund, because Starbucks publicly supports an ideology blameworthy for the killing of innocent people including women and children in the West Bank and Palestine.

It is also important for the Islamic financial services industry to start taking a view on the Islamicity of the fund manager.

After all, if an ethical fund manager is not committed to the ethical values, its credibility as an ethical fund manager must be questioned. Similarly, an Islamic fund manager must demonstrate its full commitment to the objectives of Shariah (as outlined above).

The above proposals are not meant to bring a hostile investing culture in the Islamic Shariah funds industry; rather they simply point to the need for developing this industry on the pattern of investors activism.

This is important for the very sustainability of the Islamic financial services industry as a whole.

It is also important to emphasise that the proposed Islamic Shariah funds industry should not be a platform for political Islam. What is being suggested here is that the Islamic fund managers must accommodate the Islamic political views in their investment strategies and processes to win business from the Shariah sensitive investors who have strong political views on some international issues and phenomena that are deemed anti-Islamic.

One may like to argue that this will help the radical Islamic movements. On the contrary, this will provide the Shariah sensitive Islamic investors an opportunity to express their preferences in financial markets to influence some of the phenomena and activities in light of their faith and political views.

At this early stage of development of Islamic banking and finance, it is absolutely important that the Islamic Shariah funds industry remains completely independent of the political movements and parties. Failing to do so may adversely affect the industry in its infancy.

It is critical that the Islamic financial services industry enjoys government support and patronage, in the absence of which it will be almost impossible for it to grow substantially.

Although Islamic banking and finance is a demand-driven phenomenon, it has taken off only in those countries where the governments have supported and promoted it. Malaysia provides the best example in this respect. Needless to say, that the future of Islamic Shariah fund industry and Islamic banking and finance as a whole relies on the government support.

Therefore, the non-political nature of Islamic banking and finance must be retained and further developed. Furthermore, it is definitely the right time to start looking into creating alliances with the Western ethical and socially responsible investments movements to learn effective tools of investors activism and shareholders advocacy in the Islamic Shariah funds industry.

Combining the Shariah principles articulated hitherto as well as garnering the support of governments and alliances with ethical movements will lead to a dynamic and vibrant Islamic funds industry.

(The Malaysian Reserve / 20 May 2013)

---

to invest in the best Islamic unit trusts in Malaysia,

please contact Ahmad Sanusi in Kuala Lumpur
Email: sanusi.my@gmail.com Mobile: 6.019.234.8786

Monday, September 3, 2012

Malaysia's Value Proposition - Islamic Fund and Wealth Management

Malaysia's in-depth experience and solid fundamentals in Islamic finance developed over more than 30 years, offers strong value propositions to foreign fund managers to establish Islamic fund management operations in Malaysia.

Strategic Location

Malaysia, with its strategic location serves as a link between the East and West. The country is well-positioned to facilitate cross flow of funds and greater economic linkages between South East Asia and the Middle East. Foreign players who wish to seize the opportunity of these largely untapped and fast growing markets will find Malaysia an excellent gateway for this purpose.

As the economies of these regions continue expanding, Malaysia is expected to play a pivotal role as a regional financial hub and gateway, particularly for transnational investments and the sourcing of funds.

Through its various global economic interlinkages, Malaysia provides players with access to the financial pipelines of the region to tap surplus funds and the wealth of high net worth investors.

Adopt Global Legal and Regulatory Best Practices

Malaysia's legal framework caters for Islamic finance matters. There is a dedicated judge at the High Court level for Islamic finance matters. The Kuala Lumpur Regional Centre for Arbitration has specific capabilities to deal with Islamic contract matters. This legal framework enables the enforceability of Shariah based contracts for Islamic finance while providing governance and legal redress for Islamic financial institutions. It also provides for strong investor protection

In particular, the Capital Market Services Act 2007 (CMSA) defines the parameters for permitted capital market activities in Malaysia, while reinforcing the protection framework and promoting international best practices among financial institutions. These and other such regulatory guidelines have been instrumental in providing industry consistency and clarity for the Islamic Capital Market (ICM) in Malaysia. In addition, Malaysia's regulatory guidelines have also set benchmarks for other countries in developing their own Islamic Capital Markets (ICM).

The legal and regulatory framework is constantly reviewed taking into consideration latest market, products and Shariah issues to ensure continuous development in the ICM.

Well-Developed Shariah Governance Framework

The Securities Commission Malaysia (SC) has established a Shariah Advisory Council (SAC) to advise on issues related to the Islamic Capital Market (ICM). The approach was taken, by recognising the importance of Shariah compliance in the Islamic financial system which possesses distinctive characteristics when compared to the conventional system.

The SAC is also responsible for analysing specific issues related to the operations of ICM, to provide guidance and advise to investors, the government and industry.

Strategic Location

Through its various global economic interlinkages, Malaysia provides players with access to the financial pipelines of the region to tap surplus funds and the wealth of high net worth investors.

Adopt Global Legal and Regulatory Best Practices

The legal and regulatory framework is constantly reviewed taking into consideration latest market, products and Shariah issues to ensure continuous development in the ICM.

Well-Developed Shariah Governance Framework

The SAC is also responsible for analysing specific issues related to the operations of ICM, to provide guidance and advise to investors, the government and industry. (MIFC)

---

to invest in the best Islamic unit trusts in Malaysia,

contact Ahmad Sanusi in Kuala Lumpur
Email: sanusi.my@gmail.com Mobile: 6.019.234.8786

Saturday, August 18, 2012

Invest in the Best Islamic Unit Trust Funds (Syariah-Compliant Mutual Funds)

Invest in halal and profitable unit trust funds (Syariah-compliant mutual funds) with proven track records. Islamic unit trust funds managed by CWA (CIMB Wealth Advisors) are proven to provide excellent returns over the years. Estimated average returns: 20-30% p.a (capital gain + dividend)…insyaAllah.

Example:

The following is the actual performance of CWA Syariah Funds (equity funds) - YTD ended Sep '09:

[Fund Name] (fund code) - (% p.a)

CIMB Islamic Asia Pacific Equity (fund code: 45) - 55.40% p.a
CIMB Islamic Equity Aggressive (fund code: 44) - 50.51% p.a
CIMB Islamic Equity (fund code: 26) - 44.50% p.a
CIMB Islamic DALI Equity (fund code: 15) - 39.81% p.a
CIMB Islamic Balanced (fund code: 08)- 34.35% p.a
CIMB Islamic DALI Equity Theme (fund code: B7) - 32.94 p.a
CIMB Islamic Small Cap (fund code: 13) - 32.61% p.a
CIMB Islamic DALI Equity Growth (fund code: 05) - 31.63% p.a
CIMB Islamic Kausar Lifecycle 2022 (fund code: B5) - 30.18%p.a
CIMB Islamic Kausar Lifecycle 2027 - 29.16% p.a

CWA is a top asset management company, a subsidiary of CIMB Group...the second most valuable listed company in Malaysia (market capitalization at more than RM80 billion).

Methods of investment:
i) CASH investment
ii) Withdrawal from EPF (KWSP) - account 1
iii) Monthly or regular investment

Minimum investment: RM500

Investors: Individuals or corporation from Malaysia or other countries.

For further info please contact your professional Islamic investment and financial consultant based in Kuala Lumpur or fill up the info request form on the right panel:

Contact:

Ahmad Sanusi Husain (IFP, BSc, MIMM, FIMM, DIT)
Certified Islamic Financial Planner/
Islamic Investment & Financial Consultant

LO : 28657 FIMM : 011-0-30983

Address:

Suite 14-11, Level 14, GTower
199 Jalan Tun Razak
50400 Kuala Lumpur, Malaysia

E-Mail: sanusi.my@gmail.com
SMS: 6019-234 8786 / 603 2168 1879

Secretary: 6019 384 9330 / 603 9082 8786

Services links:
Blog: www.islamic-invest-malaysia.com
Company web site: www.cwealthadvisors.com.my

Consultant links:
Personal blog: www.ahmad-sanusi-husain.com

Islamic Unit Trusts - The Principles and Contracts

Islamic Unit Trusts:

By S.U. Hasan - Institute of Islamic Banking and Insurance - London

In Western financial markets, the origin of Unit Trusts can be traced back to fifty years ago, though their use as financial products has taken a great leap forward during the last 10-15 years, as there has been a greater awareness of the benefits of having a diversified portfolio under full-time professional management with the safeguard of Trustee supervision and statutory controls.

It is an investment vehicle which normally suits all categories of investors in the medium and longer term periods. In the short-term and specialist categories, market volatility is more reflective. It is certainly one of the most efficient and cost-effective ways of participating in the market.

The concept is that risks and rewards are shared by the investors employing the expertise of the professional managers. This is in conformity with Islamic principles and is already applied within the Islamic financial system. The main area of discussion, however, concerns what types of investment can be considered by Unit Trusts within the framework of the Islamic Shari'a.

There are a number of specific Islamic financial contracts and financial products used by various Islamic financial institutions. They include:

Mudaraba, which is a contract in which all the capital of a venture is provided by the Trust and the business expertise and management is the responsibility of a third party. Profits accruing are divided between the third party and the Trust according to the contractual terms and conditions.

Murabaha, which is a contract in which a third party wishing to purchase equipment or goods (primarily commodities) requests the Trust to purchase such commodities at cost and add a reasonable profit, which profit shall accrue to the Trust.

Musharaka, which is a joint venture agreement by which the Trust advances funds, which, added to a third party's funds, produces a participation in the equity of the venture. Profits and losses are shared by the parties in direct proportion to their contributions.

Ijara and Ijara Wa Iktina, which is a contract under which the Trust finances equipment, a building or an entire project for a third party against an agreed rental, together with an undertaking from the third party to make payments to the Trust which will eventually permit the purchase by the third party of the equipment or project. The difference in value between the cost of the original finance and the total payments made by the third party would be for the benefit of the Trust.

With the development of Islamic banking and finance internationally during this decade, these financial products have been effectively introduced and maintained under sophisticated accounting and computerised systems.

International equities cover the major world markets. The question from the Islamic point of view is whether investments in international equity markets are acceptable under the Shari'a. There is no doubt that dealing in the supply, manufacture or service of things prohibited by Islam (haram), such as riba, pork meat, alcohol, gambling, etc. cannot be acceptable. But companies which are not involved in the above haram activities could be considered acceptable. The main objection against them is that in their own internal accounting and financial dealings they lend to and borrow from riba banks and other institutions, but the fact remains that their main business operations do not involve Islamic prohibitions. These companies may be owned and run by non-Muslim in non-Muslim countries. Business between non-Muslims and Muslims has continued from the Prophet Muhammad's time and non-Muslim individuals or corporate bodies cannot be expected to work under the Islamic code of conduct in their own business affairs. The profits and performance which determine their dividend and capital appreciation may anyway contain only a negligible amount of interest, if any. The sale and purchase of shares is a matter of investment and earnings, whilst there is no participation in management. Usually the number of shares held does not affect management control and this includes mergers, take-overs, joint ventures and venture capital projects with such companies.

There is a difference of opinion on this matter among the religious scholars of Islam, but a number of them have considered it in great depth and their opinion is summarised as follows:

"If a company is not involved in the manufacture or sale of haram goods and its business is not based on interest (riba) or gambling, it is permissible for a Muslim to buy its ordinary shares and benefit from its dividends. However, buying its preference shares is not permissible.
"Sometimes objections are raised about the purchase of such companies' shares, from the Shari'a point of view, on the ground that these companies borrow from banks, etc., on interest, but in these cases interest is paid rather than received, and so the element of interest is not included in the companies' profits. Doubts may be expressed that these companies open interest accounts with banks and include interest accrued on their deposits in their profits. But it can be argued that the amounts receivable from interest accounts are generally very small in comparison with the total profits and therefore rather insignificant, which is why the bulk of the profits may be accepted without hesitation. "Besides this, keeping in view the evolutionary period through which the Islamic financial institutions are passing, there is scope to deal with non-Muslim companies to this extent unless and until the Islamic institutions become so strong that they are able to deal with non-Muslim institutions on their own terms only."

There is a large variety of financial products in Western financial markets which are not interest-based, or where the element of interest could be eliminated. For example:
Property funds and property investment trusts, trading in commodities, financial options and futures, forward transactions in foreign currencies and general trade-financing transactions. The Islamic Unit Trust will combine three important factors:
a) Western investment expertise
b) Islamic finance expertise
c) Shari'a guidelines provided by Islamic religious scholars
This combination allows individual Muslim investors, Muslim corporate bodies and Islamic financial institutions to have access to the international markets and provides opportunities for them to benefit from the real rate of growth in these markets. This participation will be controlled, from a Muslim point of view, in relation to its financial, sociopolitical and geographical aspects.
Islamic Unit Trusts will give priority to equity investment in:
1) Islamic banks and financial institutions
2) Stock markets of Muslim countries
3) Companies managed under the Islamic system
This will help to build up international Islamic corporate and securities markets, which will help real benefits for Islamic banks and financial institutions to accrue, thus strengthening the world Islamic financial system.
Western financial institutions are holding large sums of monies originating from Muslim countries. In the absence of a comprehensive Islamic banking system, the investors and depositors are fully dependent upon these institutions and have virtually no say in determining their attitudes.
We have seen in various Muslim countries the development of Islamic bankiag catering mainly to local requirements during the last ten years, but there is little development in the international scene and in particular in investment management and participation in the international markets which is under the control of the Islamic system. Access to, and development of, expertise by Muslim institutions is essential in this area to assist the real international growth and competitiveness of the Islamic financial system.
Indeed, it is here that Islamic Unit Trusts could provide the breakthrough. They will not only be able to take advantage of the substantial range of contemporary Unit Trust operations but will also be able to include varieties of specific Islamic products and transactions which are new to the Western way of thought. The compatibility of contemporary Unit Trusts will be greatly helpful in popularising Islamic Unit Trusts. Besides investors living in the Muslim countries, the Muslim population in Europe is estimated at over seven million. Similar numbers are living in the USA and Canada. Large numbers of these Muslims are permanently settled in these countries as citizens.
They are well represented economically and include businessmen and professionals such as doctors, accountants, managers, bankers, teachers, engineers and scientists. Their social, economic and financial resources are, at present, under-utilised and their desire to deal with Islamic financial institutions, if such were available on a competitive basis, cannot be mistaken. They form a strong and potential group of Muslim investors for products such as Islamic Unit Trusts, and it is fair that they should have opportunities of investing in Western markets under an Islamically acceptable system.
Western countries maintain a good financial environment based on a strong legal system which provides investor protection, targeted steady growth in the economy and political stability, with a flourishing industrial and commercial base served by experts with the relevant skills.
The performance of Unit Trusts in the Western markets was highlighted by the Table of Price Changes' on an offer-to-bid basis, with income reinvested over 12 months and 3 year periods, prepared by Micropal for the Top Ten Unit Trusts in various categories as on May 30, 1988. According to the figures in the table, the October 1987 crash in the world stock markets did affect the extraordinarily high performance of Unit Trusts in the short term, but over a period of three years it did not make any significant difference. This position was also reflected by the M.S. Capital International World Price Index from Jan. 1977 to Jan. 1988.
There will be no restriction to stop non-Muslims investing in an Islamic Unit Trust. While performance will be the investors' paramount consideration, it will be coupled with morality. A number of Contemporary Ethical Unit Trusts have been established in the U.K. and Buckmaster and Moore, Investment Advisers, have been providing investment advice for over three decades to clients who want to invest in ethical Unit Trusts, i.e. those which do not invest in the shares of companies trading in tobacco, alcohol, gambling, aims or in South African companies. Islamic Unit Trusts run parallel with Ethical Unit Trusts from the non-Muslim investors' point of view. It is interesting to note their advertising approach, which is summarised hereunder.
"The Ethical Unit Trust specialises in seeking profits for Investors whilst conforming to certain ethical criteria. When clients invest in it they can be sure that none of the moniss will be invested in companies which engage in the arms trade, have holdings in South Africa, have gambling interests or manufacture and/or distribute either alcohol or tobacco. It combines Ethical and Equity Investment successfully. "Buckmaster and Moore (a fund management subsidiary of Credit Suisse) launched the Fellowship Trust in July, 1986 on the same ethical basis.
It is sometimes suggested that the restrictions which are imposed by ethical investment may result in weaker performance. This does not seem to be the case if we examine existing Ethical Unit Trusts and Funds, which include M&G Charifund Income Units, the Central Board of Finance of the Church of England Investment Fund, the Charities Official Investments fund and the Buckmaster funds. They have all outperformed the Retail Price Index, FT Index and a large number of successful funds. In drawing a parallel between Ethical Unit Trusts and Islamic Unit Trusts, the important thing to note is that the determination of whether an investment is ethical or unethical is made by the fund managers, based on information received from various professional bodies, including the Independent Investors Responsibility Research Centre of Washington DC and other specially constituted committees of reference. In the case of Islamic Unit Trusts, the ultimate approval comes from the Boards of Religious Advisors, which consist of established religious scholars. In matters of the Shari'a (law), the interpretations of various scholars may differ, but in any particular operation, a group of religious scholars or a Board of Religious Advisors provide the Shari'a guidance and approval and this is binding on the respective fund managers. The most important difference between Ethical Unit Trusts and Islamic Unit Trusts is that Islamic Unit Trusts do not deal at all in the interest market and, in their operation, the receipt and payment of interest in any form is not permitted.
The latest addition to the Islamic Unit Trusts is the Guernsey-based Umma Fund, which claims to be the first authentic Islamic Unit Trust in the Western markets. This may be taken as a general model for Islamic Unit Trusts, which incorporate a wide range of investment options and procedures based on growth and income, open-ended, redeemable, etc., covering international equity markets, currencies and properties. Through property funds, commodities and agreed modes of Islamic investments under the specific types of Islamic contract already mentioned (such as Mudaraba, Murabaha, Musharaka, Ijara and Ijara Wa Iktina), Islamic Unit Trusts must eventually cover the whole range of investment lines open to existing Unit Trusts and Mutual Funds.
The above explanation shows that the concept and principle of the Islamic Unit Trust is not alien to contemporary Western markets. In fact, Islamic mudarabas operate on a similar basis and are among the main products of the Islamic financial system. Most Islamic banks are operating mudarabas successfully and it should be said that this system has been prevalent throughout Islamic history among businessmen. The mudarabas floated by Islamic banks and mudaraba companies established in Muslim countries, in particular Pakistan, are run on a modern corporate basis and up-to-date accounting and corporate laws are applied within the bounds of the Islamic Shari'a.
During this decade, Islamic financial institutions have been set up at both national and international level and offer an alternative to the prevailing riba-oriented financial institutions. The International Association of Islamic Banks has been established to promote and coordinate the expanding cctivities of Islamic banks and financial institutions. To date, these institutions have met with considerable success and have cantinued to expand their operations, but they have not yet fully penetrated the financial markets of the West. The Umma (Muslim community) has responded to these ventures with enthusiasm and earnest support. As a result, Islamic banks and other financial institutions have-been extremely effective in mobilising funds, a statement borne out by the continuous and rapid growth of their clients' funds under management.
The total clients funds and deposits with the Members of the International Association of Islamic Banks, as of March 1988, are US$7 billion, out of which US$5 billion are lying in short-term instruments, which includes currency swaps. Much larger amounts are available under the Islamic financial system if we also consider the funds with non-member banks and financial institutions, the Islamic banking system in Pakistan and the mudaraba and Islamic portfolios managed by various banks, including a number of European and American banks.
This is despite the fact that the profit yield on these funds is modest compared to that available in contemporary financial markets and Islamic banks and financial institutions are looking for ways and means to be competitive.

-----

to invest in the best Islamic unit trusts in Malaysia,
contact Ahmad Sanusi in Kuala Lumpur
Email: sanusi.my@gmail.com Mobile: 6 019 234 8786

Wednesday, February 22, 2012

CIMB-Principal Asset Management wins "Best Overall Fund Group Award" at at The Edge-Lipper Malaysia Fund Awards 2012

The highly regarded The Edge-Lipper Malaysia Fund Awards 2012 was held at the Kuala Lumpur Convention Centre on 20 February 2012. This award is given out to honour the unit trusts and asset managers that have excelled in delivering consistently strong risk-adjusted performance, relative to peers. CIMB-Principal Asset Management came out the biggest winner again.

THE EDGE - CIMB-Principal biggest winner at The Edge-Lipper awards

http://www.theedgemalaysia.com/highlights/209136-cimb-principal-biggest-winner-at-the-edge-lipper-awards.html