Choose a Portfolio

Investors can choose from three investment strategies for globally diversified portfolios:  Low, Medium and High Risk. These strategies are commonly referred to as Income, Balanced and Growth.

 
 STRATEGY CHARACTERISTICS
Conservative

Capital preservation and emphasis on annual cash returns, avoidance of risky assets.
Conservative, low-risk investing.

Balanced
A balanced between the objectives of Income and Growth investment strategies.
Growth Capital growth, little interest in cash returns, willing to accept portfolio losses in exchange for thepossibility of highter portfolio returns.


Some asset categories are inherently more risky than others. There are only four asset categories:

 
 CATEGORY FUNDS RISK
Cash Murabaha funds
Trade finance funds

Lowest risk. securities linked to physical assets producing cash in short-term transactions.

Fixed Income
Trade finance funds
Sukuk funds
Lower risk. securities linked to physical assets producing cash in medium-term transactions.
Equities
Equity funds Higher risk. securities linked to ownership of a business, sharing in risks and rewards ownership.
Alternative Investments Commodity funds
Real estate funds
Special strategy funds
highest risk. Outcome of investments is less predictable, more speculative.


These investment strategies and their asset allocations are best illustrated as follows:

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