Treasury Products

Liquidity Management
The Treasury team offers efficient cash flow management to ensure a smooth assets and liabilities management process.

The following kinds of Sharia-compliant deposits with reputable Islamic financial institutions are used to manage liquidity with different risk and reward profiles:

• Murabaha: financing through a purchase and sale contract where the profit rate is defined, and the proceeds are a liability on the borrower. Normally, Murabaha carries a lower risk and profit.
• Mudaraba: a profit sharing contract in which the investor agrees to share the profit only with the Mudarib, and where neither the principal nor the profit is guaranteed.
• Wakala: a contract between an agent and a principal in which the investor (Muwakkil) grants the right to the investment manager (Wakeel) to use the Muwakkil’s funds in the treasury pool.

The Treasury team invests in physical commodities on a medium-to-long-term trading view basis, and in funds that track physical and non-physical commodities on an opportunistic basis.

Spot Forex
This involves the buying and selling of currencies with physical delivery based on their current exchange rates.