What is Hejaz Equities Fund?
The Hejaz Equities Fund is a professionally managed investment fund that aims to produce returns by matching or beating the performance of the iShares MSCI World Islamic UCITS ETF. The fund is also designed to follow Islamic religious principles. With over a rolling 5 to 7-year timeframe through exposure to diversified equities. Hejaz Equities Fund considers ethical values and social justice in its investment decisions. Balancing between financial and spiritual investment screens while investing in a variety of stocks to diversify risk.
Islamic ETFs are designed for investors that want their investments to be consistent with their values and beliefs. In 2022, Hejaz launched the first Islamic ETFs in the Australian Securities Exchange (ASX). The Hejaz Equities Fund can be found by putting (ASX: ISLM) and it is available to be traded like any listed security. Hejaz Equities Fund follows strict guidelines and ethical screening processes set by an independent Sharia board, Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI), and Global Islamic Financial Services (GIFS).
Hejaz Equities Fund (HEF) provides investors with exposure to both domestic and international markets. So that the investment risks can be reduced through diversification. The investment approach is to research, screen, and then select quality investments. And it will apply across Australian and international equities. Furthermore, HEF uses a rigorous and robust investment approach. It encompasses a quantitative and qualitative analysis. It also adopts an adaptive investment style to consider value, quality, and growth across the short, medium, and long term.
Who manages the Fund?
1. Responsible Entity – Equity Trustees Ltd
Equity Trustees Limited is a financial company that manages a fund and handles issuing documents related to it.
3. Fund Manager – Hejaz Financial Advisers Pty Limited
Their role is to assist Equity Trustees Ltd to oversee and monitor the Investment Manager’s investment and management of the Funds. Furthermore, they aim to promote and market the Fund.
2. Investment Manager – Hejaz Asset Management Pty Limited
Hejaz Asset Management Pty Limited is an Australian-based fund manager specializing in ethical and Sharia-compliant investments. They specialize in offering boutique ethical advisory and investment services. They analyse the prospective investment focusing on Finance, Credit, and Structuring rules. They ensure sustainability to the Portfolio.
4. Custodian and Administrator – Mainstream Fund Services Pty Limited
They are selected by the Responsible Entity to act as administrators for the Fund. That includes keeping financial books and records and calculating the Net Asset Value (NAV) of the Fund.
Investing in Hejaz Equity Fund offers benefits for investors. The Fund offers investors an easy way to diversify their portfolios across various equity securities. For both domestic and international. HEF adheres to strict ethical guidelines as outlined in the Ultra-Ethical Code of Governance. The Fund also follows Sharia Ethical Investment Standards set by the AAOIFI. These guidelines include a negative screening process for investments in harmful industries. It avoids investing in companies that are directly involved in or generate more than 5% of their revenue from industries such as alcohol, military, pig products, media/adult entertainment, tobacco, gambling, and traditional financial institutions. This helps to ensure that the portfolio is free from investments in harmful industries.
In conclusion, the Hejaz Equities Fund is a unique investment option offering prospects to investors to align their investments with their values and beliefs while generating returns. Managed by a team of professionals, including Equity Trustees Ltd as the Responsible Entity, Hejaz Asset Management as the Investment Manager, and Hejaz Financial Advisers as the Fund Manager, with Mainstream Fund Services as the Custodian and Administrator. Furthermore, investing in Hejaz Equities fund offers benefits such as diversification across various equity securities, strict adherence to ethical guidelines, and avoidance of investments in harmful industries. To find out more about Hejaz ETF, click here on how to buy Australia’s first Islamic ETFs.