CI Sharia Index

Misr Sharia Equity is an open-ended equity investment fund that aims to replicate the performance of the EGX33 Sharia Index by investing in the stocks that constitute the index. The fund allocates at least 90% of its net assets to the index constituents in line with their respective weightings.

To enhance diversification and manage risk, the fund is committed to limiting its investment in any single company's shares to no more than 15% of net assets, while investments in securities issued by a single financial group may not exceed 20%.

In addition, Misr Sharia Equity allocates no more than 10% of its net assets to liquidity in accordance with its approved investment policy. This portion is invested in low-risk instruments such as Treasury bills, current accounts, and deposits with Islamic banks supervised by the Central Bank, in order to meet redemption requests and manage operational requirements.

The fund belongs to the category of Sharia-compliant index funds, where the investment manager's role focuses on replicating the index performance and managing what is known as tracking error, rather than actively selecting stocks with the objective of outperforming the market. As a result, the fund's performance is closely linked to the performance of the companies included in the EGX33 Sharia Index.

Misr Sharia Equity is also committed to maintaining a correlation coefficient of no less than 90% between its returns and those of the target index. Furthermore, the fund applies specific Sharia screening criteria when selecting investments, excluding companies that do not comply with Sharia principles. As a result, the fund represents a specific segment of the Egyptian equity market consisting solely of Sharia-compliant companies rather than the market as a whole.

Description as published on the distribution platform.