• Monday, March 04, 2024
businessday logo


Marble Capital launches N3bn Halal Commodities Fund

Marble Capital eyes N500m from IPO of Halal Fixed Income Fund

The Marble Halal Commodities Fund (MHCF) was on Wednesday launched in Lagos as the first commodities Fund to be approved by the Securities and Exchange Commission (SEC).

It is a new commodities Fund, domiciled in the agro-economic and extractive sector. The initial N3billion Fund consists of 30,000,000 units at N100 per Unit at par. But it can be increased subject to the approval of SEC.

The new asset class was designed not only to impact the Nigerian financial market, but the entire economic sector, most especially but not limited to Agriculture. industry.

The Fund which primarily invests in commodities-linked instruments, operates based on the principles of Shari’ah and as such only invests in halal -certified investment instruments.

Speaking at the launching ceremony of the Fund in Lagos on Wednesday, Dayo Obisan, Executive Commissioner for Operations, Securities and Exchange Commission (SEC) noted that the launch of the fund would play a key role in the attainment of the 2015–2025 Nigerian Capital Market Master Plan of the Commission.

Obisan, noted that one of the cardinal points was for 25percent of the market capitalization to come from non-interest areas such as Marble Halal Commodities Fund.

Akeem Oyewale, Chief Executive Officer, Marble Capital Limited said the fund would enhance product diversification in the Nigerian economy while preventing loss of investments to Ponzi schemes and funny crowd funding programmes.

Read also: Buhari to spend one more week in London – Presidency

“The main objective of the fund is to provide investors with income diversification and generate returns by investing in diverse halal- compliant instruments. In addition, the fund would also contribute to the economic growth of the country. We believe that we will be able to formalize a lot of non-formal agricultural investments and that would allow investors to scale investments opportunities.

“The Marble Halal Commodities Fund is open to both retail and institutional investors and compliant with the PenCom guidelines for mutual fund investments. The minimum amount required for investment is N50,000,” Oyewale said.

The ceremony was attended by many chief executive officers in the financial market and other captains of industry.

Earlier in his address, Ali Ango, Chairman, Marble Capital Limited said the fund would be invested in a series of commodities-linked instruments, including gold and precious metals among others.

“The Fund is forward-looking and will be able to adapt to these asset classes as they become available and are approved by the regulators. The launch was timely, especially, coming from the raging floods that ravaged Nigeria last year, prompting commodities exchanges not only to prioritize agriculture production but also processing and the act of off-taking which can add value. The Federal Government has agreed to support the farmers who lost a lot last year. This is why the launch is timely.

Providing more insights about the Fund, Ibrahim Jimoh, analyst at the Marble Capital said “There is 90- day period after which the funds invested can be redeemed. He stressed that N50, 000 was the minimum which translates to 500 units at the rates of N100 per unit.