Islamic finance in Europe (65)

Continuation

Conventional investment funds show:

-      a more balanced asset allocation

-      and an orientation towards fixed income assets.

However, Shari’ah-compliant funds are focused on:

-      equities

-      and money market instruments.

European Islamic funds currently represent 8.3% of the global Islamic fund industry, with:

-      Ireland

-      and Luxembourg

accounting for 7% alone.

In its endeavour to project Dublin as the European hub for Islamic funds, the Irish government has taken the initiative to educate prospective managers on the benefits of having an Irish domicile for their funds.

From the research paper of European Central Bank

(Authors: F.Mauro, P.Caristi, S.Couderc, A.D.Maria, L.Ho, B.K.Grewal, S.Masciantonio, S. Ongena and S.Zaher)