Launch of Faisal Islamic Bank of Egypt Mutual Fund

The fund, which will be managed by Hermes Fund Management, is the first Egyptian Islamic fund to invest in shariah compliant companies. All investments of the Fund have to conform with the investment policy and restrictions specified by the Sharia Supervisory Board of Faisal Islamic Bank of Egypt. Moreover, the fund seeks growth of capital while maintaining a moderate level of risk in order to preserve invested capital. The fund also aims at distributing a semi-annual dividend to unit-holders.

The fund's initial size amounts to EGP 50 million distributed over 500,000 certificates with a par value of EGP 100. The minimum subscription in the fund is EGP 1000 and subscription is open to both institutional and retail investors for adults and minors.

Moreover, the fund introduces a new system for financially supporting orphans whereby investors may invest in the name of a specified orphan. The investor can obtain complete information about orphans from Faisal Islamic Bank of Egypt. The certificates will be purchased in the name of the orphan and all distributed income will be paid into the orphan's account. At the age of 21, the orphan is free to sell or purchase additional certificates if he wishes to do so.

Investors may subscribe in the fund at Faisal Islamic Bank of Egypt and all its branches in addition to all offices of the National Post Office. Subscribers may redeem part or the full value of their certificates weekly at bank branches or the post office at which they subscribed.

The Fund was issued by Faisal Islamic Bank of Egypt, the leading Islamic bank that was established in 1979 as the first commercial Islamic bank in Egypt with the goal of instituting an integrated and advanced banking system while adhering to Islamic shariah principles.

Hermes Fund Management (HFM), the manager of the Fund, is one of the first fund management firms to be established in Egypt. The company is also one of the largest fund management firms in terms of asset under management. HFM currently manages five Egyptian mutual funds which are the funds of the Bank of Alexandria, Banque du Caire, Egyptian American Bank, Egyptian Gulf Bank and American Express Bank.