In today’s world, more investors are looking for ways to grow their wealth while adhering to ethical principles, especially those who wish to invest in a manner that is consistent with Islamic finance principles. The Etica Special Shariah Fund (KES) offers a Shariah-compliant investment opportunity for Kenyans who want to make their money work for them while remaining socially responsible and ethically aligned with Islamic values. With a starting investment of as little as KES 100, this fund provides moderate-risk, capital-protecting investments that can generate regular income and diversify your investment portfolio.
Managed by Etica Capital Limited (ECL), a Kenyan wealth tech company regulated by the Capital Markets Authority (CMA), the Etica Special Shariah Fund is a secure and professionally managed vehicle for ethical investing. In this article, we’ll break down the features of the fund, how it works, and how you can start investing.
Etica Special Shariah Fund Overview
The Etica Special Shariah Fund (KES) is designed for investors who are looking for Shariah-compliant investment opportunities that also provide capital protection and regular income. The fund holds a diversified portfolio of assets that meet Islamic finance principles, ensuring that investments are made in industries that comply with Islamic law—avoiding involvement in sectors like alcohol, gambling, or interest-based finance.
This fund offers a moderate-risk investment profile and has no lock-in period, providing investors with flexibility and ease of access to their funds. The fund’s benchmark is based on the average rate of Shariah-compliant 3-month deposits offered by Shariah-compliant banks, with an additional 2% p.a. for enhanced returns.
Key Features
- Minimum Investment & Top-Up: Start investing with as little as KES 100. You can also make additional investments (top-ups) from KES 100 upwards.
- Risk Profile: The fund is classified as having moderate risk, ensuring that it balances between potential returns and safeguarding your capital.
- Lock-in Period: There is no lock-in period, which means you have the flexibility to access your investment whenever you need it.
- Benchmark: The fund is benchmarked against the average rate of Shariah-compliant 3-month deposits offered by leading Shariah-compliant banks, with an added 2% p.a. to enhance growth potential.
- Management Fee: The fund charges a management fee of 2.0% p.a., which is standard for most ethical and diversified investment funds.
Benefits of Etica Special Shariah Fund
- Ethical and Socially Responsible Investing: The fund adheres to Islamic principles of finance, ensuring that your investments avoid industries prohibited by Shariah law (such as alcohol, gambling, and interest-based ventures). This makes it a morally responsible investment option for those seeking ethical returns.
- Regular Income Potential: The fund aims to provide regular income by investing in Shariah-compliant income-generating assets like government bonds, corporate instruments, and other ethical investments. This makes it a suitable option for those seeking a steady stream of returns.
- Diversified Portfolio: The fund is diversified across a range of Shariah-compliant securities, including government bonds, corporate bonds, and other ethical assets, which helps mitigate risk while ensuring competitive returns.
- CMA and Trustee Oversight: The fund is regulated by the Capital Markets Authority (CMA), ensuring that it operates in compliance with all legal and financial regulations. Additionally, the trustee oversight from reputable financial institutions ensures transparency and protection for investors.
- Capital Protection: The moderate-risk strategy employed by the fund focuses on protecting your principal investment while still offering potential for steady growth through carefully selected ethical assets.
How to Access Etica Special Shariah Fund
The Etica Special Shariah Fund (KES) is designed to be easily accessible for investors across Kenya. You can access the fund through the following platforms:
- Etica Mobile App: Available on both iOS and Android, the mobile app offers a user-friendly way to manage your investments, track your returns, and access your funds anytime, anywhere.
- Web Portal: You can also access the fund through the Etica Capital website at www.eticacap.com, which provides a comprehensive platform for managing your investment.
- Manual/Physical Application Form: For those who prefer traditional methods, manual application forms are available, providing an alternative registration method.
KYC Requirements for Etica Special Shariah Fund Accounts
To comply with regulatory standards, Etica requires all investors to submit Know Your Customer (KYC) documents. The required documents vary depending on the account type. Here is a breakdown:
Individual/Joint Accounts:
- A copy of your National ID or Passport.
- A recent coloured passport photo.
- Tax certificate or equivalent.
Minor Accounts:
- Parent/guardian ID and photo.
- Birth certificate of the minor.
- Parent/guardian tax certificate.
Sole Proprietorship:
- Business registration certificate.
- Proprietor ID and photo.
- Tax certificate.
Self-Help Groups/Welfare Societies:
- IDs and photos of each signatory.
- Committee resolution approving account opening.
- Approved signatories list and constitution.
- Registration certificate.
Partnerships:
- Partner IDs and photos.
- Partnership agreement/deed.
- Written approval from partners.
- Registration certificate.
Corporate/Institutional Accounts:
- Director IDs and photos.
- Memorandum & Articles of Association.
- Board resolution approving account opening.
- Registration certificate & CR12 of ultimate beneficial owners.
How to Apply and Fund Your Etica Special Shariah Fund Account
Step 1: Open an Account
Start your investment journey by registering through the Etica App, the web portal, or by submitting a manual application form. The process is quick and convenient, allowing you to begin investing right away.
Step 2: Submit KYC Documents
Submit the required KYC documents based on the type of account you are opening. These documents are necessary to verify your identity and ensure compliance with financial regulations.
Step 3: Fund Your Account
You can fund your Etica Special Shariah Fund account using the following payment methods:
- Bank Transfer (KES Account):
- Account Name: Etica Unit Trust Collection Account
- Account Number: 0180283951027 (KES)
- Bank: Equity Bank Kenya, Community Supreme Branch, Code 018
- M-PESA:
- Paybill Number: 4096483
- Account Number: Your member number
- Pesalink:
- Deposit via your bank app or USSD, and the funds will reflect instantly in your Etica account.
- Equity Bank Channels:
- Use *USSD 247# or visit Equity Bank branches using Biller Number 919292.
Once your account is funded, your investment will be visible in your Etica App and web portal immediately.
Contact Details
- Phone: +254 769 999 666 / +254 111 055 650
- Email: [email protected]
- Office: Allamano Centre, Consolata Shrine, Westlands, Nairobi, Kenya
- Website: www.eticacap.com
Key Takeaways
- Start with as little as KES 100: The Etica Special Shariah Fund provides an accessible entry point for those looking to invest ethically in Shariah-compliant products.
- Ethical, Socially Responsible Investing: This fund ensures your investments align with Islamic finance principles, focusing on socially responsible sectors.
- Moderate Risk, Regular Income: The fund offers moderate-risk investments that generate regular income, making it suitable for investors seeking steady returns.
- Flexible Funding and Withdrawals: Invest and withdraw easily through M-PESA, bank transfers, and Pesalink, with no lock-in period.
- CMA-Regulated: The fund operates under CMA regulation and benefits from trustee and custodian oversight, ensuring your investment is secure.
The Etica Special Shariah Fund provides an opportunity for those seeking ethical and Shariah-compliant investments with moderate-risk and the potential for regular income. Whether you’re starting with a small amount or looking to build a sustainable portfolio, this fund offers a reliable, socially responsible way to grow your wealth.
