Sidra Capital’s USD funds net solid returns for 2020
JEDDAH
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Sidra Capital, a shari’ah compliant asset management firm headquartered in Jeddah, and regulated by the Capital Market Authority (CMA), has announced healthy annual returns on two of its US dollar-denominated funds - the USD Income and US Dollar Mutajara Funds.
The USD Income Fund had generated above-target returns of 8%, while the US Dollar Mutajara Fund met its targeted return of 5% for 2020.
Announcing the key achievement, Sidra Capital Chairman Hani Baothman, said these returns are especially impressive in light of global challenges such as disruptions in supply chains in certain markets and other challenging market conditions stemming from the Covid-19 pandemic.
"Performance of our trade finance funds in 2020 showcased the resilience of our private finance strategy in the face of the external shocks brought about by the pandemic," stated Baothman.
"Despite the challenges, our private finance transactions did not experience a single default, and the funds offered an excellent alternative investment asset class that provides hedging to portfolios and protects investors’ wealth from market fluctuations," he added.
The Sidra Income Fund is a US Dollar-denominated private fund focused on supporting infrastructure supply chain transactions in Asia.
It is designed to capitalise on the infrastructure boom in Asia and aims at achieving stable, high-yield returns uncorrelated to the stock market and global commodity prices.
A specialist in natural commodities, the Sidra Income Fund offers shari’ah-compliant, top-tier, income-generating asset classes for risk-averse investors.
It aims at achieving stable, high yield returns uncorrelated to the stock market and global commodity prices while contributing positively toward the social and economic development of the communities that the invested companies operate in.
The Sidra Mutajara Fund, also US Dollar-denominated, combines shari’ah-compliant money market investment with structured trade finance products in order to achieve liquidity, steady performance and above-benchmark returns, said the statement.
It plays an important role in financing growth in the real economy. It supports nonspeculative value-added small and midsize enterprises (SMEs), in emerging markets and focuses on agricultural commodities and metals, it added.-TradeArabia News Service
