“Al Salam” announces the successful listing of the “XASB” Sukuk Fund on the London Stock Exchange

Al Salam Bank announced the successful launch of the XASB Sukuk Fund on the London Stock Exchange (LSE), offered by ASB Capital, the asset management and investment financial services arm of Al Salam Bank Group with assets under management of US$5.8 billion, and Xtrackers from DWS, one of the largest European specialists in ETFs globally. This is the first listing of its kind by a Bahraini financial group for a Sukuk ETF, which enhances Al Salam Bank’s pioneering role in the field of banking and financial innovation.

Sukuk markets have proven their ability to achieve stable and reliable performance, which enhances investor confidence and distinguishes them from other fixed income instruments. Sukuks derive their strength from their asset-backed nature, and their position is strengthened through continuous issuances by sovereign entities and international companies. However, access to these markets has traditionally been fraught with challenges, such as high minimum investment and a lack of transparent and innovative products.

With the XASB Fund, these hurdles are removed through a single investment vehicle that gives investors the opportunity to invest in more than 150 instruments in a diversified, liquid and cost-effective way. Investors can now benefit from this product easily through the “Al Salam Investment” digital service available through the Al Salam Bank application, which provides immediate access to global stocks, index funds, sukuk, and investment funds, all within an umbrella compatible with the provisions of Islamic Sharia.

On this occasion, Rafiq Nayed, CEO of Al Salam Bank Group and Managing Director of ASB Capital, said: “The launch of the XASB Fund represents a new step that reflects our commitment to placing the Kingdom of Bahrain at the forefront of the innovation sector in the field of financial services. Through our partnership with ASB Capital and “Financial.”

For his part, Hisham Johari, the first CEO of ASB Capital, said: “Our company was launched with a clear vision of providing innovative, highly efficient investment solutions and an easy investment mechanism, which opens new horizons for global investors. Today, sukuk constitute about 45% of the total market of financial instruments offered in US dollars (bonds and sukuks combined), which amounted to 2.5 trillion US dollars, which consolidates its position as a major investment tool for investors. The volume is expected to exceed Sukuk markets will reach $2 trillion by 2030, in light of continued growth and increasing demand from investors.”

For her part, Hoda Al-Nibati, Head of ETF Sales at Xtrackers, a subsidiary of DWS, France, Middle East and North Africa, said: “By combining the transparency of ETFs with the growth and flexibility of the global sukuk market, we will be able to open the doors to a broader segment of investors, from individuals to institutions, to participate in this type of asset classes that play a pivotal role in promoting economic growth.”