Abu Dhabi Islamic Bank (ADIB) launched a new healthcare-focused equities basket note. The structured note provides 95% capital protection, while offering no cap on the potential return and matures in 12 months.
Saif Alkeem, Head of Wealth Management & Priority Banking at ADIB, said:
“Healthcare is one of the sectors that has seen strong investor interest during this pandemic induced era. The launch of this new Sharia’a-compliant healthcare equity basket note provides exposure to leading international healthcare companies primed to capitalise on such trends in a post-COVID-19 world. It is expected to offer strong returns with limited risk to their capital.
“As a bank, we will continue to develop tailored wealth management solutions to customers which allow them to meet their financial goals through a diversified investment portfolio.”
Healthcare stocks have received considerable attention over the last year due to COVID-19, which has increased the need for effectual treatments and a race for a proven, safe vaccine. The Sharia’a-compliant product matures in one year and provides investors with access to leading international healthcare companies and is designed to capture the projected growth of companies involved in the research & development, manufacturing, and selling of treatments, medicines, and vaccines. Stocks include Merck & Co, Gilead Sciences, Johnson & Johnson, Sanofi and Novartis, which have a diversified portfolio of pharmaceutical products that attract consistent demand around the world.
The note is open for subscription until 4 February 2021 with a minimum investment commitment of $50,000. Customers will have the option to redeem their investment after a three-month lock-in period.