Following this announcement, the platform is expected to provide access to global private markets to individual and institutional Shariah-compliant investors. The financial institution will focus on meeting the needs, preferences, and demands of its customers and clients, while also prioritising the process of remaining compliant with the regulatory requirements and laws of the industry.
Mnaara’s suite of products and solutions was designed in order to simplify the overall investment process, while also providing access to convenient digital access to investments from several regions around the world. At the same time, the financial institution focuses on delivering a secure and efficient digital platform for its users, while also moving new members from sign-ups to investment. This procedure will take place through a complete digital end-to-end process, which avoids a lengthy administrative onboarding procedure.
As disregarding private markets significantly limits investors in the process of targeting high returns and in the overall expansion of variety within their funding portfolio, the space is even more limited and inaccessible for Sahriah-compliant investors. The expansion of Mnaara will focus on optimising this situation, as the company will identify high-performing private fund managers and make them accessible with smaller investment tickets.
This process will follow strict Shariah screening guidelines, which will limit and control what companies consider non-ethical activities in Islamic finance. Private funds will also be offered under two main strategies – a Global Growth Strategy and a Global Private Debt Strategy.
The Global Growth Strategy incorporates Private Equity funds, which focus primarily on the process of investing in private companies that provide business models with a clear path to exit through sale offerings and public offerings. Shariah-compliant funds limit their investments in compliant businesses and firms, as they do not depend on borrowing to deliver their returns. This is set to make strategies less risky and more in line with the overall ethical investing process.
The Global Private Debt Strategy uses asset-based financing funds in order to provide investors a periodic stream of cash income, while also adhering to the Shariah guidelines that prohibit interest. Mnaara will continue to leverage the experience and network of its team in managing portfolios, while also using its network in order to select investment options that align with Shariah guidelines.
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