The world’s first Islamic exchange-traded fund (ETF) investing into the Chinese market is now available on Islamic robo advisor Wahed Invest Malaysia’s platform.
Launched on the 12th July 2021 by Value Partners Asset Management Malaysia, the China A-Shares ETF is the first Shariah compliant ETF anywhere in the world to invest in China A-Shares, tracking the performance of the Dow Jones Islamic Market China A-Shares 100 Index. For a deeper understanding about the ETF, read IFN’s coverage here.
Wahed Invest Malaysia, a licensed digital Islamic investment manager which is a subsidiary of New York-based Wahed Invest, began operating in Kuala Lumpur in 2019 and has since attracted over 200,000 retail investors locally and abroad.
This partnership between Wahed Invest Malaysia and Value Partners Malaysia offers investors access to China’s market, specifically in the new economy, which comprises sectors like technology, consumption, healthcare and 5G.
Investors on Wahed’s robo-advisor platform will have the ETF as part of the instruments for their portfolio construction. The allocation of the ETF will be determined by each investor’s risk level and the expected return contribution to their portfolio.
“The launch of the China A-Shares ETF presents a unique opportunity for Malaysian investors to participate in the growth of the second-largest economy in the world while adhering to the Shariah. By incorporating the China A-Shares ETF into Wahed’s portfolios, Wahed’s clients will be able to track the performance of the fund and achieve further diversification in maximizing long-term returns based on the risk profiles,” Syakir Hashim, CEO and country head of Wahed Invest Malaysia, said.