London, Asharq Al-Awsat- Standard & Poor’s Fund Services, the world’s leading provider of independent fund information, ratings and research, has assigned a “A” Fund Management rating to The National Commercial Bank’s AlManarah High Growth and AlManarah Medium Growth Portfolios, following a qualitative evaluation of their performance, stock selection and management policy.
According to Standard & Poor’s Fund Services, funds that are rated demonstrate the ability to provide above average returns over a long-term period (relative to funds in the same sector) along with a strong ability to adhere to a consistent investment process. The rating is based on an evaluation of qualitative (management, investment process, and organization) and quantitative (historic performance, portfolio construction, and volatility) factors, which contribute to long-term performance.
These AlManarah portfolios, launched in 2003 are open-ended funds-of-funds offering investors Shariah-compliant asset allocation. The underlying funds are selected from NCB’s AlAhli range of Shariah-compliant mandates, which are only appointed after going through a rigorous selection process.
Mr. Ahmed Farid, NCB Head of Asset Management Sector, expressed his delight with the rating and commended the management and performance of the Bank’s investment portfolios. He stated that “NCB is the only bank in the Middle East to have its portfolios rated by Standard & Poor’s.” He further mentioned that the continued excellence in the performance of the bank’s investment portfolios is based on sound investment decisions. Mr. Farid concluded by praising the special efforts exerted by the Bank’s management and its staff in elevating NCB’s services and in developing its products. He also expressed his appreciation and thanks to the Bank’s clients for providing support to these portfolios.
Mr. Ali Jaffery, Senior Portfolio Manager for the Al-Manarah Portfolios commented:
“During the past two and a half years the AlManarah High Growth Portfolio achieved net profit of 44.6% with its assets reaching 51.9 million US Dollars at the end of April 2006. The AlManarah Medium Growth Portfolio achieved net profit of 28% with its assets reaching 137.7 million US Dollars at the end of April 2006.”
Mr. Jaffrey explained that these portfolios meet the needs of clients’ through financial planning services. They provide complete solutions for investors by diversifying across a variety of asset classes, currencies and geographic regions, as well as by complying with Islamic Shariah investment laws and principles.
Mr. Jaffery further added “the AlManarah High Growth and AlManarah Medium Growth Portfolios were aiming to manage the risk profiles according to the fund objectives. NCB’s investment policies depended on managing risk and revenues simultaneously, thus making the performance of the portfolios superior. This is in keeping with the Bank’s long term strategy and decision making, working on sound investments, and striving to achieve the various needs of its investment clients”.