Islamic asset allocation in the current environment

ASSET ALLOCATION

As investors become more cautious they are likely to look further afield for products

Over the past two decades Islamic finance has become an increasing focus of the global investment community. Indeed, a recent estimate puts the value of the Islamic finance industry at $1trn worth of assets and predicts that it will grow by 10% to 15% per annum.  Although still mainly focused on the Middle East and Asia, it is now expanding beyond these markets into Europe and the US. Reasons for growth The reasons for this market growth can, in part, be attributed to the financial turmoil of the last couple of years and the cautious shift in global investor sentiment from wealth creat...