Monday, March 30, 2009

i-VCAP to launch four Islamic funds this year

i-VCAP Management Sdn Bhd, now a full-fledged Islamic fund management company, plans to launch three to four Shariah compliant funds this year. This is to add to its flagship fund, MyETF-DJIM25 (MyETF Dow Jones Islamic Market Malaysia Titans 25), Asia's first Shariah compliant Exchange Traded Fund.
i-VCAP has recently obtained approval from the Securities Commission to operate as an Islamic fund management company in line with its business objective.
The company had been operating under the licence for general fund management services even though the company has been undertaking exclusively Islamic fund management activities since its establishment in 2007.
i-VCAP CEO Zainal Izlan Zainal Abidin said in a statement on Mar 26the company's business objective to provide Islamic fund management services is driven by its aspiration to fulfil the demand within a segment of the fund management industry which the company believes is still under-served.
"It reflects the company's confidence in the potential size and growth of the Shariah compliant fund management segment, in which i-VCAP intends to play a significant role", he added.
At the same time, its focus on developing an Islamic fund management business is consistent with the Government's efforts to enhance Malaysia's position as a leading Islamic financial centre.
In this regard, the infrastructure and regulations supporting the Islamic financial and capital markets in Malaysia are relatively well developed, with work for further enhancement being done on an ongoing basis, thereby creating a conducive environment for i-VCAP to develop its business.
MyETF-DJIM25, listed on Bursa Malaysia on Jan 31, 2008, allows investors to gain simultaneous exposure to 25 leading Shariah compliant companies listed on the local bourse. The fund is currently the largest Shariah ETF in the world in terms of net asset value, which is about US$140 million (RM507.44 million).

(The Malaysian Reserve, Mar 27, 2009, P9)