Modern finance has developed socially responsible and ethical strategies. Islamic finance is comparable to western principles of ethical and CSR investing. Islamic funds comply with Shari’a Law and Islamic investment guidelines: The first principle of Islamic finance is that all forms of interest are forbidden; Islamic assets are based on a profit and loss sharing system (risk sharing); and the ban on gharrar (uncertainty or speculation) activities. The principles of Shariah are often considered slightly different by various Shariah Fund Managers and scholars.
Edale conducts research and maintains a proprietary database on Shariah Compliant Funds and Exchange Traded Funds. The fund research focuses principally on EU regulated and domiciled investment funds commonly known as UCITS. Offshore funds are also considered in some cases as part of the investment universe. All the Collective Funds and ETFs have a Sharia certificate that is maintained on file for inspection by clients.
Our clients access this research in a variety of different manners:
- Subscribe to the fund research to offer recommendations within discretionary or advisory managed portfolios;
- Fund selectors use the research to assist product development;
- Use by investment committees to maintain investment white lists;
- Recruit Edale to perform a specific goal or project.
If you are interested to know more about this type of investing and what Edale offers, please contact us for further information.