Wethaq Money Market Fund

Wethaq Money Market Fund is an open-ended investment fund with a daily cumulative return and periodic distributions. It was launched by Wethaq Takaful Insurance Company with the objective of providing a low-risk investment vehicle focused on capital preservation, generating competitive returns, and maintaining a high level of liquidity.

The fund achieves this through investing in a diversified portfolio of money market instruments and low-risk fixed-income securities. The investment policy allows Wethaq Money Market Fund to invest up to 100% of its net assets in Egyptian Treasury Bills, up to 80% in bank deposits and savings accounts, and up to 49% in bonds and debt instruments, in addition to the ability to invest in other money market funds.

The fund's investment policy also includes a number of safeguards aimed at reducing risk and enhancing diversification. Non-government securities must have a minimum credit rating of BBB. In addition, the fund may not invest more than 15% of its net assets in securities issued by a single entity, more than 20% in securities issued by related entities, or own more than 5% of the units of any other investment fund, helping to limit concentration risk and maintain a well-diversified portfolio.

Wethaq Fund allows investors to subscribe and redeem units on a daily basis during official business hours. Requests submitted before 12:00 noon are executed at the fund price announced on the same day, while requests submitted after that time are processed based on the following day's price.

What is the difference between Wethaq Fund and a bank savings account?

Wethaq Fund invests in Treasury Bills and short-term debt instruments. In addition, the fund’s returns benefit from tax exemption in accordance with applicable regulations, while also offering daily redemption without restrictions or redemption fees.

Does Wethaq Fund distribute periodic dividends?

The fund provides a daily cumulative return, meaning that earned returns are reflected in the fund unit price on a daily basis. The fund may also make periodic dividend distributions, subject to the decision of the founding entity and after fulfilling the requirements and procedures set out in the fund prospectus.