The index is provided by S&P and tracks the performance of Sharia-compliant liquid stocks in the UAE, opening up a new and increasingly sought-after asset class for investors seeking to open up to the UAE’s economy.
The S&P traded fund of Chimera Capital currently owns two classes of shares, the first class A cumulative will be listed on the Abu Dhabi Securities Exchange and are based on reinvesting the realized gains in the fund again without incurring any additional costs to the investors, while the second category B will be listed in Dubai Financial Market and provide full dividends to investors. The dual equity class option in the fund provides investors with additional flexibility to choose between the returns of a regular investment portfolio or maximize future investment.
His Excellency Khalifa Al Mansoori, Chief Executive Officer of Abu Dhabi Securities Exchange, said: “We congratulate Chimera Capital once again on the development of this product, which is the first of its kind in the UAE to offer a specialized solution through an index conforming to Islamic law with a major listing on the Abu Dhabi Securities Exchange. … and we consider it a new opportunity for investors to add an investment tool compatible with Islamic law to their portfolio, especially those who seek to diversify their investment field, in addition to the possibility of managing investment risks more effectively. ”
He pointed out that the inclusion of influential investment companies such as Chimera for their products in the Abu Dhabi market is definitely due to the soundness of its regulatory and legislative provisions, and the number of companies wishing to be listed in the market is on the rise, and companies will definitely benefit from improving access to capital to finance their ambitions, strategic projects and growth plans in the market. Under the Abu Dhabi market, which possesses a well-developed and well-established regulatory infrastructure, facilitating the inclusion of a variety of different asset classes.
“Abu Dhabi has succeeded in attracting a more diversified group of investment companies and diversified investor accounts, which are supported by the increasing liquidity of the financial market, focus on clients, and well-established and transparent regulations. The market continues to maintain its competitive edge through digital investment,” Al Mansoori added. In its systems and infrastructure to develop a capital market at the highest international levels, which is an important and effective component of Abu Dhabi’s economy. ”
For his part, the Chairman of the Board of Directors of Chimera Capital expressed his happiness with the launch of the first traded index fund that simulates an index compliant with Islamic law in the UAE financial markets and that the Chimera Standard & Poor’s UAE Sharia Trader Fund represents an integrated and attractive investment opportunity for a growing segment of the investment community. Promising growth in the UAE market.
It is worth noting that the index was established by the Standard & Poor’s Corporation and is supervised by a Sharia supervisory body that convenes periodically to follow up the index and ensure the balance between its components, as well as to ensure the availability of liquidity and compliance with Islamic law on a quarterly basis.
The index currently consists of 10 financial stocks in the UAE market, which gives investors a single gateway to form a balanced portfolio of Sharia-compliant shares in the UAE in accordance with the framework provisions of the Sharia Supervisory Board of Standard & Poor’s.