FOR IMMEDIATE RELEASE
Azzad Wise Capital Fund implements fee reduction
First halal fixed income fund in U.S. offers socially responsible alternative to bond funds
Falls Church, Va., 2/22/21 – Azzad Asset Management, Inc. (“Azzad”), investment adviser to the Azzad Funds, today announced that its flagship fixed income product, the Azzad Wise Capital Fund (the “Fund”) has reduced its management fee and lowered total operating costs for investors.
Citing strong inflows and rising assets under management, Azzad voluntarily reduced its annual management fee for the Fund from 1.19% to 0.80% of the Fund’s average daily net assets, and the Fund’s Board of Trustees and Azzad agreed to limit the Fund’s net annual operating expenses to 0.89% (previously 1.29%) of average daily net assets. This reduced fee and expense arrangement became effective on January 1, 2021; it will continue until at least October 31, 2021.*
“We continue to enjoy solid growth,” said Azzad Funds Board Chairman Bashar Qasem, CSAA. “That gives us economies of scale, allowing us to reduce fees for our clients and investors. We encourage them to take advantage of the Fund’s characteristics, including international securities not typically available to retail investors, to better diversify their portfolios.” Mr. Qasem is also President and CEO of Azzad.
A socially responsible, interest-free alternative to bond funds, the Azzad Wise Capital Fund was launched in 2010. It aims to produce a return that is comparable to that of conventional short-term bond funds without dealing in interest, instead investing in sukuk, Islamic banking deposits, and halal trade finance. The Fund adheres to internationally recognized standards for halal (Islamically permissible) investing.
In 2014, Azzad hired Federated Investment Management Company, a subsidiary of Federated Hermes, Inc. to sub-advise the Azzad Wise Capital Fund, a relationship that continues today.
In recent years, Federated has positioned the Fund to participate in a series of syndicated ethical trade finance deals arranged by the International Islamic Trade Finance Corporation (ITFC), whose purpose is to advance trade to improve the economic conditions of people around the world.
See: Islamic Mutual Fund Increases Social Impact with Trade Finance Investments
The Azzad Wise Capital Fund is available on all major mutual fund platforms, including Charles Schwab, Fidelity, Pershing, and TD Ameritrade, in addition to being offered through a wide variety of broker dealers.
Azzad oversees more than a dozen model portfolios and pooled funds, each of which is managed according to halal, socially responsible criteria, which screen out potential investments that may cause social harm. Companies with high debt ratios are also excluded. Azzad also engages in shareholder advocacy on behalf of clients in accordance with the company’s ethical proxy voting guidelines.
*Please see the Fund prospectus for more information.
About Azzad
Azzad Asset Management is a socially responsible registered investment advisor committed to providing investment services designed to help people enjoy optimum performance without compromising their values. Azzad believes that companies operating in ethical lines of business offer relatively less business risk and are in a better position to thrive in the long term. Azzad is affiliated with the Interfaith Center on Corporate Responsibility and the Accounting and Auditing Organization for Islamic Financial Institutions. The firm is based in Falls Church, Virginia.
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