nbk launches its second islamic kd ijara fund
Maroof: “NBK continues its Ijara funds’ success story with the launch of Islamic KD Ijara Fund II, offering annualized monthly distributions of 6.25% in Kuwaiti Dinar”
National Bank of Kuwait announced today the launch of its “Islamic KD Ijara Fund II”. This fund is the eighteenth edition of the Islamic Ijara funds and the second from the Kuwaiti Dinar series and is will offer Private Banking clients an investment product that generates monthly income of 6.25% throughout the Fund’s term.
The fund was offered due to the over-whelming success of the “Islamic KD Ijara Fund I”, which was launched in June and was fully subscribed within three days. The fund will continue to boost NBK’s status as a leading financial institution that offers Islamic investment solutions in the local and regional markets.
NBK Capital's Managing Director of Asset Management, Nabil Maroof, said that, “the Islamic KD Ijara Fund II was launched owing to the success of previous NBK Ijara funds, and specifically the Islamic KD Ijara Fund I, which provide reliable monthly returns and relatively low risk. The Fund was created to grant NBK Private Banking clients the opportunity to invest in a diversified portfolio of leasing contracts that are structured according to the principles of Islamic Shariah.” These contracts involve the leasing of various types of mission critical equipment including manufacturing, IT hardware, construction materials, telecommunication equipment, networking equipment, material handling and other types of equipment to credit-worthy companies.
The Fund is entirely compliant with the laws of Islamic Shariah as approved by the independent Shariah board for Islamic funds marketed by NBK in Kuwait, comprised of Sheikh Dr. Khalid Mathkor Al-Mathkor, Sheikh Dr. Essa Zaki Shakra and Sheikh Dr. Abdul Aziz Khalifa Al-Qassar.
The Fund is denominated in Kuwaiti Dinars; the minimum investment in the Fund is KD30,000 with multiples of KD10,000. The Fund’s Term is 5 years with possible 2 one year extensions. The offering period will end on 15 September 2009. Investors can subscribe only during this period as the Fund will be closed afterwards.