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Asset Class
Description
% of Net Asset Value















NAV percentage values may not total 100 due to rounding errors










Holding
Value (£'s)
















On the day of valuation, precious metal holdings are valued at the market fixing, where available, and other currencies and commodities at the mid-market quote.




 NAV History after interest receipts donated to charity (Graph)










 NAV History after interest receipts donated to charity (Data)






Date
Net Asset Value (£'s)















 Trading History






Date
Trade Description














Investment Strategy






The holding of international currency balances and other liquid assets is more or less forced upon many institutions and corporations in the Muslim world. Some attempt should therefore be made to hold such balances in the form of appreciating currencies and commodities. The Market Eye portfolio is constructed with this aim in mind, using qualitative and quantitative assessments of economic and financial market indicators in the developed economies to guide the portfolio selection. The performance target is a mean annual real return of 10% (measured against the UK GDP deflator) with an annualised standard deviation of 15%.









Investment Criteria

Activity
Acceptability






Short selling
No. Only assets that are in the ownership of the fund can be sold, and no repurchase agreements or other asset borrowing facilities are used.

Margin trading
No. Either full payment of price occurs up-front, or full countervalue is delivered up-front. Forward settlement of both countervalues cannot be contracted.

Financial leverage
No. Neither interest-based nor interest-free loan financing of the fund position is allowed. Therefore the fund cannot have a negative net asset value under normal circumstances.

Use of derivative products
No. The fund cannot contract positions in financial futures, options, swaps or other contingent liabilities. Forward sales and purchases are allowed in commodity markets where full payment or delivery up-front is made for one of the countervalues. In currency trading, only spot transactions are allowed.

Fixed income investment
No. All instruments of an interest-bearing nature, whether fixed or floating, are excluded from the portfolio.

Equity investment
Yes. As of 18 November 2010 equity securities are now included in the portfolio where these are issued by companies wholly engaged in permissible business activities and no interest-based debt finance is used. An estimation is made of any interest income received by the issuer on surplus cash balances during each accounting period, and such income is deducted pro rata from any dividend receipts or capital gains for the period and donated to charity.

Currency trading
Yes, where both currencies are exchanged on the spot market and where interest receivable on deposits of currency balances is not retained for commercial purposes.

Commodity trading
Yes, where one or both of the commodity and sale/purchase price are exchanged for spot settlement.







 

Disclaimer
The information presented above is not a solicitation for business, nor are we authorised to provide investment advice. The portfolio is a purely theoretical exercise with no exposure to actual market risk. Non-professional users of this website should seek professional advice before undertaking trades on any of the markets covered in the portfolio.