26 June 2011
Saudi Arabia's Sambacapital brought a new Shari'ah compliant equity fund to market last week, the Al-Ataa Saudi Equity Fund.

The fund will be a Shari'ah-compliant, open-ended, Saudi riyal denominated equity fund that is benchmarked against the S&P Saudi Arabia Shariah (Saudi riyal) Index.

Sambacapital is the asset management division of Riyadh-based Samba Financial Group.

The fund, described as the first of its kind in the local market, will distribute a cash dividend of up to 2.5% every six months. Samba is aiming this fund at both retail and institutional investors with a minimum investment of SAR5,000 ($1,333).

The fund will charge an annual management fee of 1.75%, with redemption fees of 1.5% for first year, 1% for second year, 0.5% for third year and none thereafter.

The Islamic Globe 2011