Azzad Meets with South African Ambassador about Islamic Finance

7/26/2013 8:28:09 AM

Azzad Meets with South African Ambassador about Islamic Finance

His Excellency Ebrahim Rasool discusses investment opportunities in South Africa with advisor to America’s 1st halal fixed-income fund

(Falls Church, Virginia, 7/24/13) – Representatives from Azzad Asset Management met today with His Excellency Ebrahim Rasool, Ambassador of the Republic of South Africa to the United States, at his offices in Washington, D.C.

Azzad requested the meeting to discuss potential investment in South Africa as part of the portfolio held by the Azzad Wise Capital Fund. The Azzad Wise Capital Fund (NASDAQ: WISEX), America’s first halal fixed-income mutual fund, invests in Sukuk, or asset-based Islamic bonds, as well as deposits and notes from Islamic banks that comply with specific socially responsible and halal financial guidelines.

In recent years, South Africa has made strides in Islamic finance. The nation has one full-fledged Islamic bank, and its four largest conventional banks offer Islamic financial products, including vehicle and asset financing. In addition, pension funds offer participants Islamically compliant investment options.

During the meeting, Ambassador Rasool noted that despite representing only 3% of the population, the Muslim community has leveraged its 300-year history in South Africa to persuade the country’s major financial institutions to open their doors to Islamic finance. He also explained that South Africa’s robust regulatory and legislative structures, strict risk management frameworks, as well as governance and compliance structures make it a possible springboard for companies into the rest of the continent.

In a statement, Azzad Asset Management said:

We remain dedicated to finding the highest quality investments from a variety of countries in order to enhance the Fund’s yield, while minimizing volatility and undue risk. Today’s discussion with Ambassador Rasool is part of a painstaking process we undertake when surveying all new investment opportunities. We look forward to future conversations with His Excellency and his partners.  

See also: Azzad in Indonesia—Traveling the Globe for Ethical Investments

During his tenure as Premier of the Western Cape, Ambassador Rasool was instrumental in attracting USD $1 billion in foreign investment to the province, helping the area achieve the highest provincial economic growth rate in South Africa at the time. In addition, the Ambassador has a long history of involvement in the anti-apartheid struggle, driven by his Islamic faith.

Azzad Asset Management, advisor to the Azzad Funds and sponsor of the Ethical Wrap Program, has been committed since 1997 to providing investment services designed to help clients enjoy optimum performance without compromising their values. The firm, based outside Washington, DC, is a registered investment advisor with the SEC.

Please consider a Fund's objectives, risks, charges and expenses carefully before you invest. The prospectus contains this and other important information. For a hard copy, please call 1-888-350-3369. Read the prospectus carefully before investing or sending money. The Azzad Funds are self-distributed. Azzad Asset Management serves as the Investment Advisor.

Contact: Investment Communications Director, Joshua Brockwell, 703-207-7005, ext. 109, joshua@azzad.net; Chief Compliance Officer, Manal Fouz, 703-207-7005, ext. 115, manalf@azzad.net

Opinions expressed are those of the author or fund manager, are subject to change, are not guaranteed and should not be considered recommendations to buy or sell any security and should not be considered investment advice.

Fund holdings and sector allocations are subject to change and are not a recommendation to buy or sell any security. Click here for Azzad Ethical Fund current top 10 holdings. Click here for the Azzad Wise Capital Fund current top 10 holdings.

Past performance does not guarantee future results.

The Azzad Ethical Fund is non-diversified and may invest a larger percentage of its assets in fewer companies exposing it to more volatility and/or market risk than diversified funds. The Fund may not achieve its objective and/or could lose money on your investment in the Fund. Stock markets and investments in individual stocks can decline significantly in response to issuer, market, economic, political, regulatory, geographical, and other conditions. Investments in mid-cap companies can be more volatile than investments in larger companies. Investments in growth companies can be more sensitive to the company’s earnings and more volatile than the stock market in general. Because the portfolio may invest substantial amount of its asset in issuers located in a single country or in a limited number of countries, it may be more volatile that a portfolio that is more geographically diversified. See the prospectus for more details about risks.

Investments in smaller and medium sized companies involve additional risks such as limited liquidity and greater volatility. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in lower rated and non-rated securities present a great risk of loss to principal and interest than higher rated securities.

The Azzad Wise Capital Fund is non-diversified with a high concentration of securities in the financial sector which can expose the Fund to more volatility and/or market risk than diversified funds. The Fund may not achieve its objective and/or could lose money on your investment in the Fund. The Fund mainly invests in securities issues by foreign entities which expose the Fund to country specific risks such as market, economic, political, regulatory, geographical, and other risks. The Fund intends to invest in certain instruments that may be illiquid. As a result, if the Fund receives large amount of redemptions, the Fund may be forced to sell such illiquid investments at a significant loss to be able to meet such redemption requests. See the prospectus for more details about risks.