What are the procedures to subscribe to the funds?
Investor wishing to purchase units in the funds shall do so by completing the subscription
application form at any Riyad Capital branch, the application includes authorizing
Riyad Capital to debit the investors account according to the terms of condition
for each fund. The investor could also utilize electronic channels at Riyad Capital
such as internet, phone, or ATM machines. The unit value for each fund is determined
on the valuation day based on the net asset value at the end of business day and
dividing it by the number of outstanding units.
What are the procedures of redemption from the fund?
Investors wishing to sell all or part of their units in the fund shall do so by
completing, signing and delivering the redemption application form to any Riyad
Capital branch, or through electronic channels such as internet, phone, or ATM machines.
Payment will be initiated according to the terms and conditions of each fund.
How will the investor be informed about the purchased
or sold unit?
Investor who buy units in the fund will receive report including the amount of subscription
and number of units. Also, the investor will be provided with the number of units
redeemed and the amount of redemption when he sells units in the fund. On a monthly
basis the investor will receive a statement showing the number of units owned and
the investment balance.
What are the costs of investing in Riyad Capital funds?
Riyad Capital will charge upfront fees for one time between 1% to 2% of initial
or any additional subscriptions to the fund. It will differ from one fund to another.
Some of the funds have no upfront fees. Also, The fund will charge management fees
between 1% to 1.85% per year, this will be deducted on each valuation day.
What are the investment risk of Riyad Capital funds?
Risk means the level of fluctuations of invested amount as a result of fluctuation
in the prices of assets held in the fund. It is generally expected that the lower
the level of risk the lower the return and vice versa. For example, money market
and commodity trading funds are low risk, so the return is low and the principle
capital is expected to be protected. However, equity and bond funds are exposed
to higher risk and it returns are usually higher on the medium to longer-term.
What are returns achieved by Riyad Capital funds?
Riyad Capital funds have generally outperformed their respective benchmarks and
comparable funds on the long-term. It is important to note that past performance
is not indicative of future results. However, investing for the long-term in the
high and medium risk funds usually achieves good returns. Performance of Riyad Capital
Funds:
| |
2009 |
2008 |
2007 |
2006 |
2005 |
| Equity Funds |
| Riyad Equity Fund 1 (SAR) |
22% |
-51.9% |
56.9% |
-50.8% |
121% |
| Riyad Equity Fund 3 (SAR) |
20.3% |
-54.6% |
51.8% |
-49% |
113.8% |
| American Stock Fund (US$) |
14.9% |
-35.4% |
5.7% |
13% |
7.2% |
| European Growth Fund (EUR) |
26.2% |
-45.8% |
5.5% |
14.8% |
32.2% |
| Japan Stock Fund (YEN) |
17.1% |
-50.3% |
-13.2% |
1.3% |
46.6% |
| South East Asia Fund (US$) |
67.9% |
-50.7% |
53.2% |
36.2% |
31.9% |
| British Stock Fund (GBP) |
25.3% |
-26.1% |
2.3% |
4.9% |
21.8% |
| International Fund (US$) |
24% |
-39% |
7.6% |
19.5% |
15.1% |
| Technology Fund (EUR) |
57.5% |
-44% |
5.1% |
1% |
22.6% |
| Telecommunication Fund (EUR) |
9.4% |
-35.5% |
14.8% |
24.1% |
21.2% |
| Future Equity Fund (US$) |
80.4% |
-52.9% |
39.8% |
33.3% |
- |
| Global Property Fund |
34% |
-48.3% |
-5.9% |
- |
- |
| Natural Resources Fund (US$) |
49.6% |
-53.2% |
- |
- |
- |
| Bond Funds |
| US Dollar Bond Fund (SAR) |
6.1% |
-3.4% |
4.1% |
3.2% |
2.8% |
| Dollar Fund (US$) |
11.2% |
-5.3% |
7% |
5.7% |
-5.4% |
| Money Market Funds |
| Riyad Money Fund (SAR) |
1.56% |
3.32% |
4.76% |
4.95% |
3.22% |
| Riyad Money Fund (US$) |
1.66% |
3.23% |
5.07% |
4.79% |
2.75% |
| Fund of Funds |
| Al Shamekh Fund (SAR) |
27% |
-40.9% |
17.2% |
8.8% |
19.8% |
| Al Shuja'a Fund (SAR) |
21.3% |
-34% |
14.4% |
8.6% |
14.9% |
| Al Mokdam Fund (SAR) |
15.8% |
-24.7% |
11.7% |
8.1% |
10.7% |
| Al Hadi Fund (SAR) |
3.6% |
-1.6% |
5.9% |
5.5% |
4.7% |
| Equity Funds |
| Riyad Equity Fund 2 (SAR) |
25.4% |
-53.6% |
54.9% |
-58.5% |
126.5% |
| Riyad Gulf Fund (SAR) |
9.3% |
-50.3% |
44.3% |
-17.2% |
- |
| Global Equity Fund (US$) |
32.7% |
-40.1% |
16.8% |
13.1% |
13.2% |
| Al Emaar Fund |
- |
- |
- |
- |
- |
| Riyad Small and Medium Cap Fund |
- |
- |
- |
- |
- |
| Commodity Trading
Funds |
| Commodity Trading Fund (SAR) |
1.65% |
3.3% |
4.59% |
4.72% |
2.96% |
| Commodity Trading Fund (US$) |
1.54% |
3.29% |
5.03% |
4.41% |
2.59% |
| Balanced Fund |
| Balance Income Fund (SAR) |
11.7% |
-32.3% |
36.9% |
-27.8% |
45.3% |
| Sharia Compliant
Fund of Funds |
| Al Shamekh Sharia Compliant Fund (SAR) |
26.2% |
-38.7% |
20.4% |
3.5% |
20.5% |
| Al Shujaa Sharia Compliant Fund (SAR) |
21.8% |
-31.8% |
16.4% |
4.9% |
16.6% |
| Al Mokdam Sharia Compliant Fund (SAR) |
15% |
-22% |
12.8% |
6.5% |
12.5% |
| Al Hadi Sharia Compliant Fund (SAR) |
4.5% |
-1.665% |
5.95% |
5% |
4.5% |
How can the investor select the best investment?
To select among different investment options as a new investor. You should provide
answers to the questions mentioned below:
What are your investment objectives?
What are your time constraints?
What are your risk constraints?
What is your liquidity need?
Based on your answers above, we will be ready to advise you and offer the most suitable
product that fulfills your needs.
