MALAYSIA - CAPITAL MARKETS - Sukuk market set to break 1 trillion-ringgit barrier in Malaysia

The total Malaysian Islamic capital market (ICM) is projected to reach almost three trillion ringgit, RM2.88 trillion to be precise, in the year 2020, with the sukuk market set to break the one trillion-ringgit barrier to account for RM1.33 trillion worth of issuances and the market capitalization of Shariah-compliant companies accounting for RM1.55 trillion. (source)

MALAYSIA - CAPITAL MARKETS - CIMB-Principal Islamic to launch 3 equity funds

KUALA LUMPUR: CIMB-Principal Islamic Asset Management Sdn Bhd (CIMB-Principal Islamic) is planning to launch three equity funds by year-end which will be distributed globally.

The new funds will comply with European Union Undertakings for Collective Investments in Transferable Securities (UCITS) and the approvals are expected soon. (source)

BRUNEI - Islamic equities, sukuk best option in volatile periods

IN A period which bankers call one of the most "unstable periods in financial history", Datuk Noripah Kamso, chief executive officer of CIMB-Principal Sdn Bhd, said that one of the best bets to look at is in Islamic equity or sukuk investments.

"If we compare with the non-syariah, or conventional stocks, from a portfolio standpoint, there are basically four reasons why Islamic equities and sukuk can be an acceptable alternative," said Datuk Noripah, who added that on a long-term basis, it grants comparable risk return, and that syariah investments have been proven to be less volatile than conventional. (full story)

BRUNEI - Building on a 'Syariah lifestyle'

Datuk Noripah Kamso, CIMB-Principal Islamic Asset Management Sdn Bhd and Scott Leiberton, Principal Global Investors

IT IS no secret that Islamic finance is one of the financial sectors that Brunei is trying to develop, and according to experts, this is "rightly so", with His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam's focus on encouraging a more "Syariah lifestyle" for the country.  (full story)

CAPITAL MARKETS - Malaysia beats Indonesia on sukuk safety

Malaysia’s dollar Islamic bonds are giving twice the returns of those in Indonesia this year as investors seek investment-grade assets amid unrest in the Middle East and Europe’s escalating debt woes.

Malaysia’s 3.928 per cent sukuk maturing in June 2015 gained 1.9 per cent this year through April 19, according to prices from Royal Bank of Scotland Group. Indonesia’s 8.8 per cent note due April 2014 climbed 0.8 per cent, RBS data show. Malaysia is rated A- by Standard & Poor’s, the fourth-lowest investment level, while Indonesia is rated BB+, one level short of the top grades. (full story)