Bahrain clears Australian equity fund
Posted On » October 6 - 12, 2010 (Volume:9 / Issue 40)
The Central Bank of Bahrain has authorised formation and marketing of the Hyperion Australian Equity Islamic Fund, the first Sharia-compliant offshore fund comprised of the country's stocks.
Investment manager for the fund is Hyperion Asset Management, a Brisbane-based, growth-style manager whose award-winning core investment team has worked together since 1997. Sharia advisors to the fund are Dr Mohammed Daud Bakar of Malaysia and Sheikh Nizam Yaquby of Bahrain.
The fund is available for 'expert' investors, defined by Bahrain authorities as individuals and institutions that have at least $100,000 in financial assets, as well as governments and related organisations. The fund is managed in Australian dollars and reported in US dollars.
"Since we emphasise cash flow and low debt ratios in evaluating companies, our transition to Islamic investment discipline has been streamlined," said Dr Emmanuel 'Manny' Pohl, CEO and managing director of Hyperion Asset Management.
"Hyperion's investment ethic aligns rather naturally with principles of Sharia-compliant investing. We have never used leverage or derivatives in our core strategy."