La Francaise Forum Securities (FS), the French investment manager’s real estate division, has launched what it claims is one of the first sharia-compliant real estate securities separately managed accounts.
The account has been developed for an unnamed Islamic investment manager based in Kuwait.
La Francaise FS will select securities with an above average risk adjusted total return, from a pool of 150 securities screened for sharia-compliance by IdealRatings to form a portfolio of 30 to 50 stocks.
Jana Sehnalova, managing director of La Française FS and portfolio manager, said the account is designed for “institutional investors with an Islamic finance focus” looking to diversify their portfolios with sharia-compliant real estate securities.
She also added that La Francaise FS is investigating the viability of developing a fund based on the same strategy as part of the existing product line managed by Groupe La Francaise.
©2018 funds global mena