According to recently published statistics the Channel Islands cornered 25% of new launches of Islamic funds in 2010. Shariah-compliant products are booming and the Channel Islands are becoming known as a preferred location for Islamic fund asset classes such as equities, money market, commodities, real estate, mixed assets and sukuk. Shariah compliant expertise, including the provision of the Shariah board, abounds in the Channel Islands.
The Channel Islands are at the forefront of Islamic finance and other fund frontiers for a number of key reasons, including their credibility, evidenced by their highly regarded regulatory status as viewed by international organisations. The OECD and IMF have given their stamp of approval. Further, it is clearly anticipated that the Channel Islands will offer AIFM Directive compliant alternatives.
The Channel Islands' success in the Shariah market place reflects the success of active marketing in the Middle East and Asia, and Tax Information Exchange Treaties are assisting the Channel Islands in nurturing co operative relationships.
Further, Channel Islands service providers are both familiar with and equipped to operate in markets which demand unconventional and complex solutions. The islands not only have sophisticated legal and regulatory frameworks, but also have highly qualified regulators who understand the products with which they work.
It seems clear that the same factors which appeal to investors in Channel Islands funds in general, have served to make them equally attractive to investors in Shariah compliant funds.
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