Emirates Islamic Bank announced that its Emirates Real Estate Fund, the first Shari’a compliant property fund in the region, has registered a strong capital growth of 2% Since launch.
The fund invests in a variety of physical real-estate focusing on the United Arab Emirates to take advantage of growth and rental income opportunities represented by the regions’ as well as one of the world’s most dynamic real estate markets. The fund also retains the option to invest in markets outside of the UAE.
“We are pleased to announce such positive results, which reflect both the pioneering nature of this fund in this market and the joint expertise of Emirates Islamic Bank and our partners Belgravia Asset Management,” said Faisal Aqil GM Retail banking of Emirates Islamic Bank.
“The early success of the fund and the strong volume of subscriptions we received reflect well on our commitment to leading the UAE banking industry in offering exciting, innovative and Shari’ a-compliant products and services for our valued retail, corporate and investment clients,” Aqil added.
High capital requirement has prevented the average investor to include local property among their assets of choice. EIB Ethmar now offers its affluent clients the opportunity to invest in the property fund at minimum investment levels of USD 25,000.
The Fund offers monthly subscriptions and redemptions and a targeted dividend payment of 6 to 8% p.a. In addition investors may also witness an increase in the value of their capital. The fund focuses on residential and commercial properties offering both rental income and capital growth and is managed by Emirates Islamic Bank in conjunction with Belgravia Asset Management, a leading property fund manager to various successful UK and international property funds.
The Emirates Real Estate Fund is governed by the strong regulatory environment of Jersey. Other parties include independent auditors, Emirates Islamic Bank Shari’a Board, legal advisors, independent valuers and offshore administrators
The UAE has been one of the market leaders for property developments and innovation in the region. The huge growth in demand for residential and commercial properties continues to provide many interesting and potentially profitable opportunities to astute investors.
© 2005 Al Bawaba (www.albawaba.com)
