UOB starts Islamic fund in Malaysia

UOB starts Islamic fund in Malaysia

Singapore: United Overseas Bank (UOB) launched its maiden Islamic unit trust in Malaysia in a bid to tap into growing demand from Muslim investors, officials said on Wednesday.

The Afdaal Fund Series, domiciled in Labuan, is a joint effort between UOB Asset Management and Commerce International Merchant Bankers, part of Malaysia's second-largest financial services group.

Dan Chan, managing director of UOB Asset Management, said the fund intends to raise US$30 million to $50 million in the first year.

The fund, kicked off on Tuesday, will be marketed in the Southeast Asian region, targeting Malaysia, Indonesia, Brunei and Singapore. After establishing a track record, the fund will go to the Middle East, said Faizal Fazaludin, senior manager of UOB Asset Management.--DPA