Kuala Lumpur - The Asset has announced Al Rajhi Bank as the winner for the Best Islamic Structured Product Award for Wakala bi al-lstithmar investment account at The Asset Triple A Islamic Finance Awards 2012 which was unveiled recently.
The Asset Triple A Islamic Finance Awards 2012 honours the best in the Islamic financial industry and has just entered their second decade of recognizing Islamic finance excellence.
Wakala bi al-lstithmar investment account which was developed by the Malaysia team is an innovative structure that offers an investment account under the contract of Wakala bi al-Istithmar to facilitate the investment needs of all types of customers, especially the retail segment. With a minimum investment amount of RM500, this product complies with both the Malaysian Shariah standards and at the international level, the standards of Accounting and Auditing Organization of Islamic Financial Institutions.
The funds under the investment account are invested in identified assets and the fund's performance is evaluated daily. The account allows investors to negotiate with the bank on the expected profit rate. The mechanics of the products enable investors to have a better confidence level of getting what is negotiated as long as the fund performance exceeds their expectation.
Al Rajhi Bank also won the Best Islamic Project Finance Award for being one of the mandated lead arrangers for Saudi Arabian Mining Company (Ma’aden) and Alcoa US$213.2 million Islamic procurement facility and Saudi riyal 2.66 billion Islamic procurement and wakala facilities.
This year, Al Rajhi Bank was selected to win an award for the second straight year. Its excellent results achieved showed outstanding growth rates in almost all its financial results.
Its Malaysian branch celebrated its 5th year in Malaysia since its official launch on 5 February 2007. Al Rajhi Bank Malaysia’s CEO, En. Azrulnizam Abd Aziz said, “This award further verifies our penchant for rolling out innovative and pioneering products and solutions for Islamic Finance. This recognition is reflective of the commitment and dedication that Al Rajhi has for its valued customers in providing innovative and fitting financial solutions which are in line with Islamic values.”
As of 30 June 2012, Al Rajhi Bank achieved a net income of SAR 4,104 million for the first six months compared to SAR 3,543 million of the same period of previous year with an increase of 16%, which is a result of the growth and diversity of products in bank financing and investment. The Bank’s total Assets reached SAR 238 billion against SAR 215 billion for the same period of the previous year, an increase of 11%.