PETALING JAYA: The world’s first Waqf-featured exchange-traded fund, the Eq8 FTSE Malaysia Enhanced Dividend Waqf ETF (Waqf ETF), has made its debut on the Main Market of Bursa Malaysia.
In a statement yesterday, Kenanga Investment Bank Bhd
said the launch was the result of a collaboration between Eq8 Capital Sdn Bhd, a member of Kenanga Investors Group and Yayasan Waqaf Malaysia (YWM), announced in June 2024.
YWM was appointed as the Waqf administrator of the Waqf assets generated by the Waqf ETF.
Kenanga Investors executive director and chief executive officer Datuk Wira Ismitz Matthew De Alwis said the launch is in alignment with the government’s call for increased collaborations between religious bodies, the public and the private sector in order to maximise potential for Waqf assets to fund projects such as education, healthcare, economic empowerment and environment.
“This reflects the spirit of Waqf in creating long-term, sustainable benefits for communities, fostering social equity and addressing pressing societal needs,” he said.
The Waqf ETF is the third Waqf-featured product by the group that has been issued since the launch of the Kenanga Waqf Al-Ihsan Fund in 2021.
The firm said the Waqf ETF aims to distribute income annually with half of the income distribution to be allocated as Waqf assets with the remaining half payable to unit holders.
Meanwhile, Eq8 executive director Umar Alhadad said the Waqf ETF features an index lead scheme to generate dividends from the thoughtfully designed index which combines an income-focused strategy with a momentum-based approach.
