Shari’ah Unit Trusts


Our Shari’ah unit trusts are Shari’ah compliant. See latest our certificates here, here and here.

FACTSHEET ASISA CATEGORYBENCHMARK
Element Islamic Global Equity SCI* FundDownloadGlobal – Equity GeneralDow Jones Islamic Market World Index   (ZAR)
Element Islamic Equity SCI* FundDownloadSouth African – Equity GeneralAverage of Shari’ah General Equity Funds with at least a 1 year track record
Element Islamic Balanced SCI* FundDownloadMulti Asset – High EquityAverage of Shari’ah Balanced Funds with at least a 1 year track record

Shari’ah Investment Track Record

2000 – Element awarded Futuregrowth Pure Equity Fund Mandate

In June 2000 Element becomes the investment manager of the Futuregrowth Pure Equity Fund (currently named the Old Mutual Albaraka Equity Fund – a unit trust with a restricted mandate based on Islamic principles). Element was the investment manager of this fund until March 2005.

2003 – Element establishes a joint venture with Futuregrowth and Albaraka Bank

In June 2003 Element established a joint venture with Futuregrowth, Albaraka Bank and Channel Islam to market the newly named Futuregrowth Albaraka Equity Fund to the SA Islamic community.

2004 – Element wins 3 Raging Bull Awards in the Unit Trust General Equity Sector

In January 2004 the Futuregrowth Albaraka Equity Fund managed by Element was awarded the ACI/Personal Finance Raging Bull Awards for the three years ending 31 December 2003 in the General Equity sector:

  • Top Performing Fund
  • Most Consistent Performing Fund
  • Best Sortino Risk-Adjusted Performing Fund

2005

  • Element earns a further Raging Bull Award and establishes SA’s first Sukuk
  • In February 2005 the Futuregrowth Albaraka Equity Fund managed by Element was awarded the ACI/Personal Finance Raging Bull Award for Most Consistent Performing Fund in the General Equity Sector for the three years ending 31 December 2004.
  • Element Establishes an Independent Shari’ah Supervisory Board (“SSB”) and Internal Head of Shari’ah
  • Mufti Mohammed Ali (Chairman)
  • Senior Lecturer: Darul Uloom Zakariyya
  • Mufti Ahmed Suliman – Aalim & Ifta’ completed at Darul Uloom Zakariyya
  • Mufti Yusuf Suliman (Internal) – CSAA (AAOIFI) and Head of Markaz Al Noor
  • Element co-founds the fi rst SA Institutional Islamic Balanced Fund both Reg 28 and Shari’ah compliant
  • Element becomes the First SA Investment Manager to launch a Murabaha Sukuk (a Shari’ah compliant cash investment product) in conjunction with Nedbank.

2006 – Element establishes its Islamic Equity Unit Trust

Element launches its Islamic Equity Unit Trust Fund in February 2006.

2007  – Element awarded Full AAOIFI Membership

Element becomes the first SA Investment Manager to be awarded Full Membership of the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI).

2010 – Element establishes its Islamic Balanced Unit Trust

Element launches its Islamic Balanced Fund (Reg 28 compliant) in April 2010.

2012 – Element establishes its Islamic Global Equity Unit Trust

Element launches its Islamic Global Equity Fund in October 2012.

2013

Shamier Khan becomes Shari’ah Portfolio Manager in October 2013.

2014

We invested in South Africa’s inaugural global US dollar-based sukuk based on an attractive valuation and in order to diversify portfolio risk.

We entered into our first Shari’ah compliant forward exchange contract (FEC) in order to reduce currency risk

2015

Element rated by PMR Africa as the best “asset management company” in the Shari’ah sector.

2016

Best performing Shari’ah Balanced Fund for the year.

2017

  • Best performing Shari’ah Balanced Fund for the year.
  • Best performing Shari’ah Equity Fund for the year.

Shari’ah Supervisory Board

The first step towards Shari’ah compliance is the appointment of an independent Shari’ah Supervisory Board by either the fund’s sponsor or the fund manager. This board is an independent body of specialised jurists in fiqh almua’malat or Islamic jurisprudence. The role of the board is to ensure that the fund is in compliance with the letter and spirit of Islamic investing.

Members of the Shari’ah Supervisory Board

Mufti Yusuf Suliman

Head of Shari’ah for Standard Bank. Mufti Yusuf Suliman serves on the Shari’ah Boards of the Bank of Maldives, Element Investment Managers, Takaful Africa, GIC Re-Takaful and Shari’ah Investments Ltd (Malawi). He developed the Islamic Banking training material for all South African Islamic Banks, having been contracted by BANKSETA. He is one of few Scholars in SA accredited by AAOIFI as Shari’ah Advisor and Auditor. He also holds Certificates in Qadha (adjudication) from Imarat Sharia’h, Patna Bihar (India) and has completed Iftaa (issuance of verdicts) at Darul Uloom Zakariyya, Lenasia (South Africa).

Mufti Mohamed Ali

Chairman of Element Investment Managers Supervisory Board; Senior Lecturer at Darul Uloom Zakariyya

Mufti Mohammed Ali is regarded by some as one of the most senior scholars in our country. He grew up in India and underwent 15 years of tertiary education at three different Islamic Universities. In addition to his Islamic studies, he also took courses in subjects like Logic and Philosophy. Following his studies, he taught for nine years in India before coming to South Africa in 1988 to join Darul Uloom Zakariyya, where he remains senior lecturer.

Mufti Muhammad Ashraf Qureshi

Member of the Board of Muftis of South Africa; Mufti at Darul Uloom Springs

Mufti Muhammed Ashraf Qureshi hails from Pakistan, where he studied for his Diploma in Islamic and Arabic studies as well as both a Bachelor of Arts and Master of Arts in Higher Islamic studies. Mufti Qureshi was fortunate to complete his course in Fataawa under the tutorship of Mufti Muhammad Taqi Usmani, who is regarded by many as the father of modern Islamic Finance. He also founded the Centre for Islamic Economics in Pakistan under the supervision of Mufti Usmani. He is now a resident of South Africa and is a senior lecturer at the Institute for Higher Islamic Studies in Springs, where he is also the head of the Fatwa Department. He is a member of the board of Muftis, as well as a member of the Judicial Committee of the Jamiatul Ulama.

Mufti Ahmed Suliman

Mufti Ahmed Suliman is a Shari’ah Scholar of very high repute and serves as a Shari’ah Advisor / Board Member of various financial institutions in and out of South Africa for the past eight years. He completed a BA/MA Alim course (Higher Islamic Studies) and thereafter the Ifta course (Islamic Jurisprudenc and issuance of Fataawa (Islamic verdicts)) at Darul Uloom Zakariyya. He served as a Mufti for the Jamiatul Ulama KZN (Council for muslim theologians) for three years where he looked after the Fatwa and Judicial departments and was a member of the Mediation and Arbitration committee. On behalf of this organisation he also served as a member of the Board of Muftis of South Africa.

Amongst the courses completed is a course on the Principles of Islamic Jurisprudence at the lbn Saud University of Riyaad, Saudi Arabia.

Disclaimer:

Sanlam Collective Investments (RF) (Pty) Ltd SCI”, a registered and approved Manager in Collective Investment Schemes in Securities. Collective investment schemes are generally medium- to long-term investments. Past performance is not necessarily a guide to future performance, and that the value of investments / units / unit trusts may go down as well as up. A schedule of fees and charges and maximum commissions is available from the Manager on request. Collective investments are traded at ruling prices and can engage in borrowing and scrip lending. The Manager does not provide any guarantee either with respect to the capital or the return of a portfolio. SCI retains full legal responsibility for the third party portfolio. The Manager has the right to close the portfolio to new investors in order to manage it more efficiently in accordance with its mandate. An annualised return is the weighted average compound growth rate over the period measured. Performance is based on NAV to NAV calculations with income reinvestments done on the ex-div date. Performance is calculated for the portfolio and the individual investor performance may differ as a result of initial fees, actual investment date, date of reinvestment and dividend withholding tax. If the fund holds assets in foreign countries it could be exposed to the following risks regarding potential constraints on liquidity and the repatriation of funds: macro-economic, political, foreign exchange, tax, settlement and potential limitations on the availability of market information. If the fund holds assets in foreign countries it could be exposed to the following risks regarding potential constraints on liquidity and the repatriation of funds: macro-economic, political, foreign exchange, tax, settlement and potential limitations on the availability of market information.

*SCI refers to  Sanlam Collective Investments.