AUB’s Prosperity Fund Attracts EGP 270 mln Bids
United Bank announced that “Prosperity” fund, the first sharia-compliant cash fund in the Egyptian market, was oversubscribed 2.7 times with bids worth EGP 270 million at the end of the IPO.
Prosperous fund that provides daily cumulative return was launched on May 6th.
Sharia-compliant funds account for 15% of the global market as these funds attract a new segment of customers who want to invest in sharia-compliant investment instruments with low risks, said Mohamed Ashmawy, chairman of United Bank.
Ashmawy affirmed that there are many sharia-compliant investment funds in the world. According to Kuwait Finance House report for 2011, there are 298 Islamic financial institutions manage US$ 60 billion in 30 countries mostly in Europe and Asia and there are also 500 sharia-compliant investment funds. In addition, global Islamic investments reached US$ 1.5 trillion.
