Bank Muscat, the leading financial services provider in the Sultanate of Oman, announced the launch of the Bank Muscat Shari’a Money Market Fund, an open-ended investment fund registered with the Financial Services Authority (FSA) of Oman.The Fund offers an opportunity to corporates, institutions and individuals to manage short-term and surplus liquidity while generating optimum returns, preserving capital and maintaining daily liquidity in a shari’a-compliant manner. The Fund investsin a diversified portfolio of high-quality, low-risk Shari’a-compliant fixed income instruments across Oman, the GCC and international markets, including deposits with banks and financial institutions, sukuk, murabaha, wakala, call accounts, and commercial papers.
The subscription period of the New Fund Offer (NFO) openedon October 11th and will run until October 22nd, 2026. The Fund is being offered at an initial price of 100 baizas per unit. It is open to both retail and corporate investors with a minimum subscription of RO 100, with no cap on the investment amount. Furthermore, there is no subscription or redemption fees. Investors have the flexibility to withdraw their investments, fully or partially, together with the returns. It also offers daily liquidity with no minimum holding period after the initial subscription period, allowing investors to access their investments at any time, with the flexibility to fully or partially redeem their investments along with the accrued returns.Investors can redeem their investments by submitting a duly completed application form with the Registrar and Transfer Agent of the Fund on any business day by 12:00 p.m. and redemption proceeds will be paid to the investor on thefollowing business day. Applications received after 12:00 p.m. will be deemed as received on the next business day and the redemptions proceeds will be paid to investors accordingly.
The Fund’s Net Asset Value (NAV) will be published daily on the Bank Muscat website and the Muscat Stock Exchange (MSX) website, enabling investors to track their investments on a daily basis. Bank Muscat and Meethaq Islamic Banking customers wishing to subscribe during the NFO period can download the application form from Bank Muscat website and submit it at their nearest Bank Muscat or Meethaq branch. Subscription is also available through Bank Muscat’s InternetBanking and Mobile Banking (IBMB) platforms as well as Meethaq Islamic Banking’s Mobile Banking application. For any enquiries regarding the Fund, investors can contact the dedicated fund team at [email protected].
Bank Muscat acts as the Issue Manager and Investment Managerfor the Fund, leveraging over 30 years of expertise in managing various asset classes and fixed income instruments. Bank Muscat launched the first money market fund of Oman in 2012 as a conventional open-ended fund. Since then, that fund has posted solid performance by generating attractive returns higher than typical alternatives available for short term investments with relatively lower risk and regular liquidity. The superior performance and growth track record of the fund’s AUM are a testimony of continued patronage of its investors. The fund continues to retain its top position as the largest open-ended money market fund in Oman across all asset classes. We truly believe that Bank Muscat Shari’a Money Market Fund will benefit from the overall experience and expertise of the Bank Muscat Asset Management team, and in particular of managing the existing Money Market Fund by Bank Muscat. Meethaq Islamic Banking provides Shari’a governance for the Fund through a robust Shari’a structure and an independent Shari’a Supervisory Board. Bank Muscat, Meethaq Islamic Bank, Horizons Capital and Vision Capital Company have been appointed as Collecting Agents during the NFO period.
On this occasion, Khalifa Abdullah Al Hatmi, Deputy General Manager of Investment Banking & Capital Markets at Bank Muscat, said: “We are proud to launch a new fund, which represents a valuable addition to our suite of investment solutions and a strategic step towards enhancing financial inclusion and offering innovative investment tools that meet the needs of diverse investor segments. This launch builds on our market leadership and the trust our customers have placed in us for over 40 years, and reinforces our role as a key enabler of the capital market and asset management business in the Sultanate.We have designed this Fund to be the optimal solution for efficiently managing surplus liquidity. It brings together the three key pillars that investors seek today: capital preservation, stable Shari’a-compliant returns, and liquidity without restrictions or fees. We are confident that, with its professional management and robust Shari’a governance, this Fund will serve as an effective tool for corporates, institutions and individuals to enhance their returns on short term surplus funds, in line with the objectives of Oman Vision 2040 to develop the financial sector and diversify investment instruments.”
For further information, investors may refer to the Prospectus of the Fund available on Bank Muscat’s website, which contains full details of the Fund including its principal terms and conditions. Investors are also advised to refer to the key risk factors outlined in the Prospectus. It should be noted that returns from mutual funds may be affected by market-related performance factors.
