UAE-Mubasher: Lunate Capital has launched the Chimera J.P. Morgan Global Sukuk ETF, an exchange-traded fund (ETF) that is scheduled to list on the Abu Dhabi Securities Exchange (ADX) on 8 July.
The fund will track the performance of the J.P. Morgan Global Investment Grade Sukuk Index using a sampling strategy, according to a press release.
The index currently includes over 70 liquid, USD-denominated Sukuk instruments across several global markets. The ETF is created to include a group of prominent investment-grade sovereign, quasi-sovereign, and corporate Sukuk issuers.
Lunate Capital is an Abu Dhabi-based management company licensed by the Securities and Commodities Authority (SCA) and a subsidiary of Lunate Holding RSC Limited.
Sherif Salem, Partner and Head of Public Markets at Lunate, commented: “This marks our second fixed income ETF launch this year and the 16th on UAE stock markets, highlighting our commitment to providing our clients with customized solutions, including specialist Shariah-compliant instruments.”
Abdulla Salem Alnuaimi, Group CEO of ADX, said: “We welcome the launch of the Chimera J.P. Morgan Global Sukuk ETF. Upon listing, this will be the 14th ETF on the exchange and the second fixed-income ETF.”
This ETF offers direct access to local, regional, and global fixed-income markets, meeting increasing investor demand for stable investment opportunities. Its addition strengthens Abu Dhabi's position as a hub for finance and investment and reflects the growing interest in ETFs as versatile investment tools.”
Investors can subscribe through six authorized participants as well as through the ADX eIPO investor portal from 24 June.
The authorised participants for the fund are International Securities, EFG Hermes, a subsidiary of EFG Holding, Arqaam Securities, FAB Securities, Daman Securities, and BHM Capital. Meanwhile, BNY will act as the ETFs’ global custodian.
In April, Lunate and Olayan Financing Company penned a deal with the Investment Corporation of Dubai (ICD) and Brookfield Corporation for a 49% stake in ICD Brookfield Place (ICDBP).
