'Al Rajhi India & china Equity Fund' ('the fund', hereafter) is an open-ended fund which invests in publicly traded stocks in Indian & Chinese markets that are in compliance with the guidelines of 'Al Rajhi Sharia Board'. The fund is targeted to the investors seeking capital appreciation over long term.
Allocation of Assets of the Fund
The fund is highly flexible in allocating assets. Besides, asset allocation among India & china markets is reviewed on a regular basis with emphasis on markets featuring the best investment opportunities. At the same time, the advantage of diversification among these markets and across the various sectors is sought to be maintained to lower the risk.
Risks
The assets of 'the fund' are allocated to various sectors. Investment in 'the fund' is a long term investment involving a certain degree of risk because the returns are associated with the performance of companies and economies of the countries where such investments are made. To minimize risk, investments of 'the fund' are diversified and spread over various sectors. In this regard, it is to be noted that stock markets in general are volatile in nature and previous performance does not necessarily guarantee similar performance in the future.
Fund Benchmark
The performance of 'the fund' is compared against the India & China benchmark stock index duly devised by Al Rajhi Banking & Investment Corporation, consisting of companies which comply with the guidelines approved by the Al Rajhi Sharia Board.
Fund Features:
· Fund Currency: US Dollars
· Minimum Investment Amount: $ 2000
· Minimum Additional Investment Amount: $ 1000
· Minimum Redemption Amount: $ 1000
· Valuation: Weekly
· Dealing Days: Saturday through Wednesday
· Execution of Subscription and Redemption Requests: Following Sunday
· Subscription Fee: 1%
· Management Fee: 2% annually
· Performance fee: the fund manager receives a 10% performance fee on the net profit in excess of 15% annualized return