Asian Tiger Capital Partners Investments Limited, a newly formed Merchant Bank in Bangladesh, has decided to be the sponsor and launch an open-end Islamic mutual fund. The Board of Directors and senior managements of ATC Investments strongly believe that although Islamic banking has become popular in Bangladesh, there is not adequate Islamic Capital Market product to cater the pent up demand for Islamic Capital Market Product. Therefore, sponsoring an open-end Islamic mutual fund is an efficient and effective means of expanding its capital market investment alternatives that will result in an attractive and stable income source for ATC Investments and lead to greater development of the capital markets in Bangladesh.

To further this initiative, Asian Tiger Capital Partners Asset Management Limited will be the Asset Manager for ATC SHARIAH UNIT FUND, with Investment Corporation of Bangladesh (ICB) as the Trustee and the Custodian of the Fund.

The Fund shall be an open-end Islamic mutual fund with a perpetual life established to broaden the base of investment and develop the capital market. Institutional investors ranging from local and foreign, Islamic and conventional, and individual investors, resident and non-resident Bangladeshis (NRBs) are eligible to invest in this Fund.

The objective of ATC Shariah Unit Fund is to earn superior risk adjusted return by maintaining a diversified Shariah compliant investment portfolio and provide attractive dividend payments to the unit-holders. The Fund may also invest in other Shariah Compliant instruments as and when they are available for investment Including but not limited to Term Certificates, Mudaraba Certificates, Musharaka Term Finance Certificates and all other asset backed securities and in other instruments that may be allowed by the rules with consultation with the Trustee and the Fund’s Shariah Supervisory Board from time to time. The Trustee may appoint one or more Shariah Advisors as and when needed based upon the requirement of the Fund.

Although no universal consensus exists among contemporary Shariah scholars on the prohibition of companies, most Shariah Boards have advised against investment in companies involved in the activities of conventional Banks, Insurance and Leasing Companies, Alcohol, Pork related products, Tobacco, Weapons and Defense, Casinos/Gambling, Hotels, Cinema, Pornography, Music etc. as such ATC Shariah Unit Fund shall not invest in such companies.