Innovative offering marks a significant departure from traditional investment norms
Emirates Islamic strengthens its position as the leading Islamic financial institution in the United Arab Emirates (UAE). It is the first Islamic bank in the region to offer the Fractional Sukuk service.
“As a pioneering Shariah-compliant bank, we are glad to provide investors access to regular income markets at a lower investment threshold and unlock new financial opportunities for them, said Emirates Islamic Head of Treasury and Markets Ebrahim Khalil Qayed.
This innovative offering marks a significant departure from traditional investment norms. It grants retail investors access to the international Sukuk markets with a minimal investment threshold of as low as US$25,000.
Traditionally, entering the international Sukuk market involved significant entry overheads, with minimum investments reaching US$200,000. Investors with smaller capital often find this to be a significant drawback.
Fractional Sukuk enables investors with smaller investment amounts to access Sukuk investments. This promotes greater financial inclusivity.
One of the most notable attributes of Fractional Sukuk is its flexibility. It allows investors to customise their Sukuk portfolios based on their preferences. These include risk tolerance, desired returns, and credit ratings.
Additionally, the flexibility of Fractional Sukuk also entails the possibility of liquidating investments by selling holdings through Emirates Islamic. This ensures ready access to funds when required.
“The Fractional Sukuk offering not only allows investors to enjoy the benefits of Sukuk ownership while managing risk but also supports their investment goals and promotes overall financial empowerment,” added Ebrahim.
Emirates Islamic is committed to providing customers cutting-edge, Shariah-compliant products and services. The bank’s strategic vision aligns with its mission to provide investment opportunities to all and assist individuals in achieving their financial goals.
