Bank Islam Malaysia Bhd launched a new Islamic structured investment product called Ziyad NID-i. This is the second Islamic Structured Investment by Bank Islam Malaysia Berhad. Ziyad NID-i is a 5 year investment in the form of Islamic Negotiable Instruments (INI) based on the concept of Mudharabah Muqayyadah.
Ziyad NID-i is designed for investors who hold the view that Asia’s equity market will recover in the medium-to-long term.
Ziyad NID-i will be invested in a basket of six stocks that are expected to benefit from massive stimulus plans undertaken by various Asian governments. The stocks are China Mobile Ltd and CNOOC Ltd from China, Panasonic Corp, Canon Inc and KDDI Corp from Japan, and Australia’s BHP Billiton.
Some of the monies will also be invested in sukuk and Islamic money market securities to ensure profit.
It is anticipated that investors should receive a minimum profit of 7.35 per cent over the whole investment period, or about 1.47 per cent per year if held to maturity. Investors may potentially get higher yields up to the maximum of 22.50% additional Conditional Profit, depending on the performance of the chosen stocks.
The indicative Conditional Profit of 22.50% is based on the exchange rate between USD and MYR that are unchanged throughout all period
The minimum investment in the product is RM65,000 and subsequent investments are in multiples of RM5,000. The fund offers full capital protection upon maturity.
Individual who invest in this product did not require to pay Zakat on their investment as the Bank pays business Zakat which includes customers’ deposits that have become capital for the Bank’s business activities.
The Profit Sharing Ratio for Ziyad NID-i structured investment is 99.9% to the Investor and 0.1% to the Bank.
For more information kindly proceed to Bank Islam webpage.