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FAB Launches New Fixed Maturity Portfolio, Raising Nearly $200 Million in AUM

Innovative Investment Solutions Cater to Diverse Client Needs with Competitive Yields and Risk Management

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Pavitra Shetty

Published on October 24, 2024, 16:58:01

First Abu Dhabi Bank FAB successfully raised close 200

First Abu Dhabi Bank (FAB) has successfully raised close to $200 million in assets under management (AUM) with the launch of its new Fixed Maturity Portfolio (FMP) on October 9, achieving record subscription levels. This marks the introduction of the second series of FAB’s conventional FMP, following the success of the first series in 2023, along with the bank’s first Shariah-compliant FMP.

 

Designed to cater to the diverse needs and investment preferences of FAB’s clients, these portfolios were made available to professional investors and have a three-year maturity. The FAB MENA Plus Fixed Maturity Portfolio Series 2 offers a net yield of 5.50%, while the FAB Sukuk MENA Plus Fixed Maturity Portfolio Series 1 delivers a net yield of 4.50%.

 

The portfolios are structured to provide high yields, with investors receiving quarterly dividends that can either be paid out or reinvested. The income is generated from a carefully curated selection of bonds and sukuk, spread across various regions and sectors. This approach creates a well-diversified portfolio of fixed-income instruments, helping to minimize risk and volatility.

 

FAB Asset Management’s new FMP is particularly attractive to income-seeking investors looking to secure strong returns while managing risk effectively in a declining interest rate environment.

 

With over 20 years of regional experience, FAB Asset Management is one of the largest MENA-focused managers. Its diverse client base includes sovereign wealth funds, pension funds, financial institutions, family offices, and individual investors. The firm’s expertise spans multiple asset classes, positioning it as a leading player in the region.

 

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