After receiving a good response from general public on Sukuk Simpanan Rakyat (SSR) launched last year, Government will be issuing a new RM3bil worth of Sukuk 1Malaysia 2010.
Bank negara was appointed on behalf of The Ministry of Finance to issue the Sukuk. The sukuk, which will be scripless and based on Shariah principles.
It has a 3-year tenure and offers a return of 5% per annum. Profit payments will be made on a quarterly basis through the sukukholders’ accounts with their agent banks.
If you are interested to subsrcribe, you may apply during the subscription period starting from 20th May to 9th June 2010. You better make a quick decision as the previous Sukuk Simpanan Rakyat (SSR) were fully subscribed within nine days.
The minimum subscription in Sukuk 1Malaysia 2010 is RM1,000 with a maximum of RM50,000 per subscriber.
Sukuk 1Malaysia 2010 can be subscribed at most commercial banks, including Islamic banks, Bank Kerjasama Rakyat Malaysia Berhad, Bank Simpanan Nasional and Agrobank.
Beginning 22 June 2010, investors can sell and purchase the sukuk at agent banks. The purchase of sukuk is based on a first-come first-served basis, with no maximum limit, subject to the availability of the sukuk sold by existing sukukholders.
Below are the key features of Sukuk 1Malaysia 2010
| Features | Descriptions |
|---|---|
| Sukuk type | Based on commodity Murabahah (mark-up) contract |
| Profit to investors | 5 % per annum, paid quarterly |
| Tenure | 3 years |
| Eligible buyers | Malaysian citizens who are 21 years and above |
| Form of instrument | Scripless |
| Tax exemption | Returns on the sukuk are exempted from tax |
| Transferability and assignability | Negotiable and transferable through sale and purchase of sukuk at agent banks |
| In the event of the death of sukukholder, the prevailing inheritance law will apply | |
| Initial subscription amount | Minimum subscription: RM1,000 (in multiples of RM100) |
| Maximum subscription: RM50,000 |
Resaleable feature of Sukuk 2010 (Commencing 22 June 2010)
| Features | Descriptions |
|---|---|
| Allocation of Sukuk | First-come first-served |
| Resaleable Amount | Minimum sell/purchase per investor is RM100 (in multiples of RM100) |
| No maximum holding per investor (subject to availability) | |
| Pricing | Daily prices based on principal at par plus accrued profit |
| Administrative cost of 0.1% of the nominal value of sukuk purchased payable to agent banks |
External Links
Bank Negara Press Statement
Sukuk 1Malaysia 2010 Page
List of Agent Banks
Frequently Asked Questions
Download Subscription Form
5% is not much but it is better than low FD rate. 🙂
5% at 3 yrs maturity for goverment secured bonds is GOOD!!
1) Goverment bond – as secure as FD
2) 5% coupon – way better than FD rates
3) 3 years maturity – 5% with 3 yrs beats 90% of investments products currently in the market
4) Quarterly payments – way better than FD
Don’t forget that you can sell it anytime 🙂
Oh yeah, right. Can sell anytime from June 22 onwards. FD can redeem anytime but with penalty.
can i knw where can i buy it?i knw it was finish sold…how can i know who gonna sell after they purchase?
You can buy & check the availability it at agent banks throughout Malaysia. Most of banks in Malaysia is their agent though.
Hi,
As I see in your site there is lots of good information avilable on Islamic finance. Islamic finance has changed .Non Muslim countries are also take lots of interest on the Islamic finance as the Islamic finance open the new door of investment.Interest (Riba) strictly prohibited in Islam as this is against the sariah law , Speculation is also against the Islam.invention of sukuk is given a new way to investor for the resource riched Arabic and Muslim countries. Japan ,UK ,Singapore and China are the leading countries who are already started dealing with sukuk.
I have write some article on this please check these : http://portfolioanalyst.blogspot.com/2010/09/sukuk-bond.html,
http://portfolioanalyst.blogspot.com/2010/09/islamic-debt-bond-market.html
I want to write one quality article for your blog ,if you agree than contact me at [email protected]
Hi, Sukuk1Malaysia already paid the 1st quarter dividen. Please check your bank account. I already did it and satisfied with the dividen although just small amount. TQ to the Gov Malaysia.
I called up my bank and they said the Sukuk 1 Malaysia dividend has been credited to my account. Will check later.