18th October 2021 - 2 min read
Wahed Invest will be introducing four new thematic portfolios to provide its customers with greater investment and exposure options.
In an email sent to existing users, Wahed shared information of the new upcoming portfolios, as well as a summary:
|New thematic portfolio and currency||Summary|
|China Stocks (MYR)||– Exposure to shariah-compliant stocks within the China A-Shares equity |
– Includes stocks from the technology, consumption, healthcare, and 5G sector
|Emerging Markets Stocks (USD)||– Exposure to shariah-compliant stocks from emerging markets that are expected to benefit from higher economic growth and increasing demand for goods and services|
|Local REITs (MYR)||– Exposure to shariah-compliant real estate investment trusts (REITs) |
– Includes real estate-related assets, along with benefits from rental income distribution
|Money Market Fund (MYR)||– Exposure to shariah-compliant money market instruments |
– Suitable for investors who are seeking for short-term liquidity and regular income
Wahed Invest also highlighted that with the addition of these four new options, its users will have a total of six options to choose from, with the first two portfolios being the Gold and US Stocks portfolio. Additionally, it clarified its use of the term thematic portfolio, which is defined as “a portfolio that invests in long-term trends that are expected to benefit from macroeconomic changes. The portfolio may invest in a single asset class and may not have diversification benefits. ”
Aside from the new portfolios, Wahed Invest also announced that it will begin charging a 1% foreign currency exchange service fee starting from 15 November 2021. This is, however, applicable only to transactions (deposits, withdrawals, and fund transfers) carried out for thematic portfolios that are trading in foreign currency.
“Deposits received in Malaysian Ringgit will first need to be exchanged in order for it to be invested in a foreign-currency denominated fund. Our fund manager manages all this so you won’t have to think about it,” clarified Wahed Invest in its email to its users. Meanwhile, diversified portfolios – which are defined as portfolios with various asset allocations to cater to differing risk appetites, ranging from Very Aggressive to Very Conservative – will not be affected by this new fee.
Recently, another popular robo advisor, StashAway, announced its own Thematic Portfolio offerings. It offered three portfolios in total, themed Technology Enablers, Future Of Consumer Tech, and Healthcare Innovation.
(Source: Wahed Invest)
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