bulletEDITOR'S PICKS

 

Carmignac and BNP Paribas IP granted RQFII licences

From Products Sep 22 2014 @ 04:08

Carmignac Group and BNP Paribas Investment Partners have both been granted licences to trade in...
view article

Guidance guarantee levy ‘unfair on advisers’

From United Kingdom Sep 19 2014 @ 02:08

A proposed levy to pay for the UK’s guidance guarantee would be unfair on advisers and consumers,...
view article


bulletRELATED ARTICLES

 

bulletNEWS

 

LATEST NEWS

IA Fund Manager Profile: Nick Train

IA Fund Manager Profile: Nick TrainOne of the most highly regarded managers in the UK equity space, Nick Train...
view article

Julius Baer eyes acquisition of Coutts...

From Europe Sep 22 2014 @ 17:29

Robeco Group outlines Japan expansion plans

From Asia Sep 22 2014 @ 16:38

MORE FROM Profiles

LATEST NEWS

How experienced investors view their wealth

How experienced investors view their wealthIain Tait, partner and head of the private investment office at London & Capital...
view article

IMA demands clarity over guidance guarantee

From Retirement Sep 22 2014 @ 13:11

Skandia rebrands as Old Mutual Wealth

From Life Sep 22 2014 @ 10:08

MORE FROM profiles & comment

LATEST NEWS

Carmignac and BNP Paribas IP granted RQFII licences

Carmignac and BNP Paribas IP granted RQFII licencesCarmignac Group and BNP Paribas Investment Partners have both been granted...
view article

The digital evolution: Skandia talks technology

From Tax & Technical Sep 22 2014 @ 04:00

Scottish wealthy cannot rest on independent...

From United Kingdom Sep 19 2014 @ 11:56

MORE FROM Products



Qatar’s Masraf al Rayan unveils Shariah-compliant brokerage

From Middle East Jul 31 2012 BY: Helen Burggraf , Contributing Editor , International Adviser

Add to My News Comments (0)

Add to My News Print

Add to My News

add to twitter

add to linkedin


Masraf al Rayan, Qatar’s largest Islamic bank and its fourth-largest bank by market value, has set up an independent brokerage subsidiary that it says will buy and sell “various Shariah-compliant financial instruments for all types of investors”.

The bank’s introduction of a Shariah-compliant brokerage comes about 18 months after Qatar’s central bank told conventional banks operating in the country that they must shut their Islamic operations by the end of 2011, which boosted interest in the country’s Islamic banks, including Masraf al Rayan.

As reported, “worries of overlap” between the two types of banking were cited as the reason behind the surprise announcement, which came in February 2011.

Al Rayan Financial Brokerage Company, or ARB, will be fully-owned by Masraf Al Rayan bank, but operate as a “completely independent subsidiary” under the Qatar Financial Market Authority, and the Qatar Exchange, the bank said in a statement, adding that it had obtained the necessary licences from both bodies.

Masraf al Rayan said it had installed a team of investment professionals to oversee and run the new operation, which, it noted, “has its own structure, building, employees and board of directors", in order to comply with regulatory requirements to separate the two entities.  

In the first phase of its roll-out, the Al Rayan brokerage will offer clients the ability to buy and sell shares by visiting its new main office, in the Al Emadi Financial Square in Doha, or by working through its call centre or a new online “E-trade system”.

Eventually, it will offer such other options as iPhone and iPad apps, the bank said in its statement.

In March, Hussain Al al-Abdullah, Masraf Al Rayan's chairman and managing director, told the bank's AGM that the institution was eyeing rival institutions in the Gulf as possible acquisition targets, as it sought to expand its reach beyond its Qatar base. In June, the bank unveiled a plan to acquire a majority stake in the Islamic Bank of Britain (IBB), through a deal which would see the other 30% of the UK entity being acquired by the Government of Qatar.  

The IBB, Britain's first stand alone, Shariah-compliant lender, was established in 2004, but failed to take off, in spite of having been backed by such well-known figures in Islamic finance as Abdul Rahman Abdul Malik, the chief executive of Abu Dhabi Islamic Bank at the time.

Shares in Masraf Al Rayan closed yesterday on the Qatar Exchange at QAR27 (£4.73, €6.04, $7.41), a gain of around 12.2% from a year ago, when they traded at QAR24.06.

A statement on the Qatar Exchange's website says that trading in the stock will be suspended tomorrow, owing "to the company’s the extraordinary general meetings being held on that day".

Add to My News Comments (0)

Add to My News Print

Add to My News

add to twitter

add to linkedin


COMMENTS


Have your say

(Be the first to) Have your say!

Please sign in or register here to leave a comment. Registration is free and only takes a few moments.






Share us on Twitter

SHARE US ON TWITTER
Join the community

Join us on Linked In

SHARE ON LINKED IN
Inform your colleagues

Switch to our mobile site

SWITCH TO MOBILE SITE
News on the go

Back tot he top of the page

BACK TO TOP OF PAGE
Just click here...