Sedco Capital is hoping to capitalise on demand for environmental, social and governance (ESG) investing by combining these principles with its sharia-compliant strategies.
The firm is promoting an investment strategy it calls “prudent ethical investing” which incorporates both management styles.
“In short, while we target strong returns and performance, we ensure that our investments benefit society, comply with sharia and ESG investment principles, while avoiding excessive leverage and non-transparent investment structures,” said Hasan al Jabri, chief executive.
Sharia-compliant and ESG investment share a number of similarities, for instance they each exclude certain stocks and sectors that are not consistent with Islamic law or which have a poor record on environmental, social or governance measures.
Sedco Capital has 14 Luxembourg-domiciled sharia-compliant strategies with a total of $1.8 billion under management.
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