Shariat-compliant portfolio management service on the anvil

Nagpur, June 8 (UNI) A 'Shariat-compliant' portfolio management service (PMS), to encourage ethical investments, is being launched by the Mumbai-based Parsoli corporation ltd next week.

The service, slated to be launched in association with Reliance Money, would encourage investments in activities considered ethical, Syed Alauddin, Chief Executive Officer (CEO) of Parsoli Insurance Brokers Limited, told UNI here.

''The activities considered against ethics ('Haraam') include liquor, banking, financial institutions that directly deal with interest, entertainment, tobacco, gambling, casino, pornography and hotels,'' he said.

Incidentally, over 70 per cent of the companies listed on the Bombay Stock Exchange (BSE) were Shariat-compliant, implying they dealt with activities not considered unethical, Mr Alauddin said.

Consequently, there would be no dearth of avenues for making investments as per the Shariat, he said.

Although the PMS was aimed at educating and encouraging Indian Muslims in relation to stock market investments that are Shariat-compliant, it would be open to all, the CEO said, adding that they expected 'good response' to the service, but declined to give specific figures.

Parsoli, headed by Group Managing Director and CEO Zafar Sareshwala, also planned to launch this year a Shariat-compliant mutual fund as another joint venture, and was at present looking for a suitable partner for it, he added.

Earlier, addressing the first annual general meeting of the city-based Indian Muslim Chamber of Commerce (IMCC) here last evening, Mr Alauddin said the contribution of the community to the country's economy was 'negligible.' The aims of IMCC, established last year, include increasing the contribution of the community to national growth. Parsoli Corporation Ltd, part of the Parsoli Group (www.parsoli.com), is a public limited company listed on Bombay and Ahmedabad Stock Exchanges, established in 1990 to provide retail stock broking and financial services, as well as to tap the potential of Muslim investments in India.

A corporate member of the National Stock Exchange of India Ltd., the company is also a depository participant with the Central Depository Services (India) Ltd.

UNI AB OBB RL PM1845