Shuaa unveils three new Sharia-compliant funds

The addition of new funds will increase the options available to institutional high-net-worth entities and corporate financiers.

Shuaa Capital, a leading asset management and investment banking platform announced the launch of three new Sharia-compliant funds under the ICC guidance. The funds are based in Abu Dhabi Global Market (ADGM) and managed by Shuaa GMC Limited, the wholly owned regulated subsidiary of Shuaa.

Differentiated fund strategies

To launch differentiated fund strategies under the ICC platform, the leading asset management and investment banking platform has established the Incorporated Cell Company (ICC) fund structure in ADGM in the year 2020. Ever since the company has launched five funds, including the most recent three new funds under the ICC fund structure.

The addition of the new funds, which include Shuaa Global Equity Fund, Shuaa Global Sukuk Fund, and Shuaa North America Equity Fund, will increase the options available to institutional high-net-worth individuals and corporate financiers and will deliver additional investment opportunities to diversify their investments across different asset classes and geographies.

Enhances the ‘overall’ return

Shuaa Global Sukuk Fund will seek to enhance the overall return in the medium to long term by an amalgamation of income and capital growth by investing in sukuk and other Sharia-compliant debt instruments. Shuaa Global Equity Fund will primarily invest in global Sharia-compliant equities, and Shuaa North America Equity Fund will emphasize North American Sharia-compliant equities.

Shuaa GMC is also the investment manager of the first two Sharia-compliant open-ended funds launched under the ICC guidance in November 2020, namely Nujoom Balanced Funds and Nujoom Aggressive Fund. The subsidiary firm now has an aggregate of $200 million in assets under management (AuM), covering five different funds under the ICC guidance.

In the first quarter of 2023, Shuaa GMC is also working to launch three additional funds under the ICC guidance and anticipates AuM under this product platform to surpass $400 million. As part of its new fund pipeline, it also aims to include Saudi Arabia and GCC-focussed funds in its ICC platform. The expansion of the ICC fund offering is in line with with the company’s strategy to diversify and expand its recurring fee income source.

Ajit Joshi, Managing Director, and Head of Public & Private markets at Shuaa Capital said that the company would continue to see flourishing investor demand for Sharia-compliant investments, their exceptionally structured managed funds under the ICC framework offer investors additional opportunities to diversify their investments across prime geographies and regions.

Noting the launch of the new funds, Fawad Tariq Khan, Group Chief Executive Officer of Shuaa Capital, said, having demonstrated their expertise in developing and managing investments that are uniquely aimed to establish long-term value for investors. Khan added that the team is assured that these new funds will also meet the needs of investors in constantly changing markets.

About Shuaa Capital

A leading asset management and investment banking platform, Shuaa Capital psc is recognized for its robust achievement and pioneering approach to investing across, innovative, differentiated, and global product offerings concentrated on private and public markets, debt, and real estate.

A resilient and distinctive platform that operates across two key segments and regions:

• The asset management segment: One of Abu Dhabi’s largest, operates fixed-income, investment portfolios, real estate funds, and projects, funds in the regional equities, and credit markets. This segment houses private markets, public markets, real estate, and debt business lines and offers investment solutions to clients, with a focal point on alternative investment strategies.
• The investment banking segment: Delivers corporate finance advisory, private placement, transaction services, and public offerings of equity and debt securities, whilst also generating market liquidity on OTC fixed-income products. The company is regulated as a financial investment company by the Securities and Commodities Authority.