Kenanga Investors Launches New Global Islamic AI Fund

The Kenanga Alternative Series: Islamic Global Responsible Strategies Fund offers investors exposure primarily to global Shariah-compliant equities, with AI and machine learning capabilities driving its quantitative investing strategies.

Kuala Lumpur, 14 August 2024 – Kenanga Investors Berhad (“Kenanga Investors”) has announced the launch of the Kenanga Alternative Series: Islamic Global Responsible Strategies Fund (“KASIGRSF”), a new addition to the Kenanga Alternative Series. 

The KASIGRSF is an open-ended Islamic wholesale fund that seeks to provide capital growth through exposure across global Shariah-compliant equities by investing in Chicago Global Responsible Strategies (“Target Fund”). The Target Fund is an open-ended Shariah-compliant fund, managed by Chicago Global Capital Pte. Ltd (“Target Fund Manager”). The Target Fund leverages advanced big data to determine alpha signals that best predict future returns which includes using artificial intelligence (“AI”) to identify financial data, market trends, social sentiment, and alternative data sources.

“Innovation in Islamic asset management has been relatively limited over the past 20 years with Shariah-compliant investment products accounting for less than 1% of the world’s financial assets. Islamic investors have been largely underserved, with few options beyond concentrated, actively managed funds or broad market Islamic indices. However, the industry is now facing a necessary evolution. With approximately 2.5 quintillion bytes of data generated each day worldwide, traditional methods are not equipped to handle supermassive, unstructured datasets. The Target Fund addresses this gap, leveraging advanced machine learning techniques to offer a sophisticated, data-driven approach and Shariah-compliant investment solution for investors”, said Executive Director and Chief Executive Officer of Kenanga Investors, Datuk Wira Ismitz Matthew De Alwis.

“By incorporating the new fund into our suite of products, we are also enabling our investors to diversify their portfolios, manage risk more effectively, and pursue their financial goals with a holistic approach. Ultimately, this aligns with our commitment to delivering well-rounded and strategic financial planning services for long-term success”, he added. 

The investment philosophy underpinning the Target Fund is deeply rooted in the University of Chicago’s heritage in finance, with the over 20 alpha signals derived from rigorous academic research, developed in collaboration with Nobel Prize-winning scientists at the university. Ivan Chelebiev, Founder and Chief Executive Officer of Chicago Global Capital (“Chicago Global”) explained, “Chicago Global Capital operates a state-of-the-art asset pricing engine, which distils, verifies, and analyses a billion datapoints per week, extracting actionable intelligence in real-time. We identify and deploy investment signals that are up to 10 times stronger than conventional methods. As the industry continues to evolve, Kenanga Investors’ commitment to bringing cutting-edge strategies to its investors will set it apart from its rivals. To fuel its next growth chapter, we are excited to partner with Kenanga Investors to launch KASIGRSF. The team at Chicago Global remains focused on delivering exceptional value to our partner and its investors, cementing our position as a pioneer in the age of data-driven investing”. 

Benchmarked against the MSCI ACWI Islamic Index, the KASIGRSF is suitable for Sophisticated Investors with medium to long term investment horizons. It is available in dual currency classes of MYR and USD with minimum initial investment amounts of RM5,000 and USD1,000 respectively.

The Kenanga Alternative Series (“Series”), which was launched in July 2024, aims to cater to investors’ tactical needs while seizing emerging opportunities within dynamic market segments. In addition to KASIGRSF, the Series also includes the Kenanga Alternative Series: Income Opportunities Fund. Each fund offers unique benefits, allowing investors to diversify and hedge their portfolios according to their needs.

The Hong Kong-based Asia Asset Management’s 2024 Best of the Best Awards has awarded Kenanga Investors with the Malaysia Best House for Alternatives title for five consecutive years. This recognition underscores the asset manager’s excellence and innovation in the alternatives investment space, reaffirming its position as a trusted leader in the industry. 

For more information about Kenanga Investors, please visit www.kenangainvestors.com.my. 

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