AFRINVEST LAUNCHES ₦2.5bn ETHICAL INVESTMENT FUND For FAITH-BASED INVESTORS.

By Ohworisi Elohor.

Afrinvest Asset Management Limited, a subsidiary of Afrinvest West Africa, unveiled a ₦2.5 billion Halal Fund designed for investors seeking opportunities aligned with Islamic investment principles.

The fund, which received regulatory approval from the Securities and Exchange Commission (SEC), was introduced as an open-ended unit trust scheme offering 25 million units at ₦100 per unit. It was developed to cater specifically to investors who wish to grow their wealth in accordance with Sharia-compliant practices.

At the launch event held in Lagos, the Group Managing Director of Afrinvest West Africa, Mr. Ike Chioke, explained that the fund had been structured to meet the needs of a growing segment of investors looking for ethical alternatives to conventional financial instruments. He noted that its design followed strict adherence to Sharia guidelines, overseen by a dedicated Advisory Committee of Experts comprising respected Islamic scholars with both local and global experience.

Mr. Chioke also highlighted the growing demand for Islamic finance options in Nigeria, citing the recent ₦300 billion Sukuk issued by the federal government, which saw an oversubscription nearing ₦2 trillion, as evidence of rising investor interest in Sharia-compliant instruments.

The Managing Director of Afrinvest Asset Management, Mr. Chris Omoh, stated that the new fund was created for investors looking to align their financial goals with their faith. According to him, the fund would offer a blend of ethical diversification, investing in instruments such as Sukuk, Sharia-compliant equities, and other approved assets.

In his remarks, the Senior Business Development Manager at Afrinvest, Mr. Kabir Ibrahim, emphasized that the fund was intended for all classes of investors—particularly those guided by faith-based financial principles. He added that although the product was tailored with northern market considerations in mind, its ethical nature made it universally accessible.

Mr. Ibrahim also confirmed that the fund would maintain compliance with Sharia principles through ongoing oversight by the Advisory Committee of Experts, which issues an annual compliance certificate to ensure transparency and adherence to ethical standards.

The investment portfolio, he explained, would be allocated across three asset classes. Between 70% and 100% of the fund would be committed to Sharia-compliant fixed income instruments such as Federal Government, State, and Corporate Sukuk; 0% to 30% to approved equities; and 0% to 25% to other permissible instruments including Ijarah Sukuk.

The minimum investment requirement was set at 100 units, with additional purchases in multiples of 10 units. The fund’s performance would be benchmarked against the 10-year Federal Government of Nigeria Sukuk.