EPF takes on new challenge – a syariah fund

WHILE the impact of the Employees Provident Fund (EPF) syariah fund, to be launched next year, will largely be neutral on the stock market, the challenge lies with the EPF to create a mechanism that will help the public to decide whether to go for the syariah fund or stick to the present conventional fund.

Areca Capital fund manager Danny Wong explains that the impact on the market will probably be neutral, as the EPF is likely to just split its current conventional portfolio into two so that there will be one conventional portfolio, and one syariah-compliant one.