Saturna Named Best Islamic Fund Manager Worldwide
Monem Salam, Saturna Capital's Director of Islamic Investing, accepts the 2005 Failaka Award for Best Islamic Fund Manager.
Bellingham, WA (March 5, 2006) — Saturna Capital Corporation, a U.S. investment management company, has received the 2005 Best Islamic Fund Manager Award for management of the Amana Growth Fund (AMAGX) and Amana Income Fund (AMANX). Saturna was chosen from financial companies worldwide that manage Islamic funds by the Islamic fund monitoring and rating company Failaka International, Inc. The award was presented to Saturna at the Failaka Islamic Fund Awards ceremony in Bahrain.
The US-registered Amana Funds are designed for Muslim American investors, who wish to invest according to Islamic principles (sharia). In addition to the 2005 Failaka award, the funds have also received strong long-term performance ratings from US fund rating agencies. The Amana Growth Fund, which returned 20.2 percent in 2005, has received a five-star Morningstar™ rating for its performance in the large growth category for Overall, three,five and ten-year periods. The Amana Income Fund returned 12.2 percent last year and is rated five stars for three-year performance in the large value category, and four stars for Overall, five and ten year periods.
"We are honored to receive this prestigious award that recognizes our efforts to deliver strong and consistent investment results, while adhering to Islamic principles," said Nicholas Kaiser, the funds' portfolio manager and president of Saturna Capital Corporation. "We attribute our success to our investment philosophy and the ability to stay the course in various market conditions. As you can see from the rating agencies like Morningstar, we are getting recognition here at home and it's satisfying to see Amana Funds now being internationally recognized".
Failaka International, a Chicago-based Kuwaiti-American company, monitors approximately 100 Islamic equity funds worldwide. According to its 2004 Islamic Funds Review, the Islamic funds industry is one of the most rapidly growing financial sectors, which includes more then 300 Islamic financial institutions managing over $250 billion in assets with financial investments in excess of $400 billion.
Saturna Capital, established in 1989 in Bellingham, WA, is the investment adviser and administrator of the Amana Mutual Funds Trust, which includes the Amana Growth and Amana Income funds, and the Saturna Investment Trust. Saturna Investment Trust consists of five funds: Sextant Growth (domestic equities), Sextant International (ADRs and foreign stocks), Sextant Bond Income (long-term bonds), Sextant Short-Term Bond and the Idaho Tax-Exempt Fund. Saturna Capital also manages private accounts for families, businesses and endowments. Saturna Brokerage Services provides general discount brokerage services and underwrites the Saturna mutual funds.
Performance data quoted represents past performance which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Returns quoted above do not reflect the potential deduction of a 2% redemption fee on shares held less than 90 calendar days. Current performance may be signaificantly higher or lower than data quoted herein. Performance current to the most recent month-end can be obtained by visiting Average Annual Returns.
The Failaka criteria for "Best Islamic Fund Manager" are as follows:
The fund company must:
- Have been duly nominated by fully and accurately completing the required nomination form
- Have been established for over 5-years as a Shariah compliant fund manager
- Have provided a consistent and long-term return relative to prevailing market conditions
- Manage more than one Shariah compliant fund
- Have surpassed the benchmark for its equity fund(s) in the year for which the award is given.
In the case of a tie, credence is given to:
- the higher returning fund/family of funds
- the better relative performance as compared to the relevant benchmark
- asset growth over the past year
- any notable achievement or advancement in the field of Islamic compliant asset management.
Source: Morningstar™ 02/28/06. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ metric each month by subtracting the return on a 90-day U.S. Treasury Bill from the fund's load-adjusted return for the same period, and then adjusting this excess return for risk. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five- and ten-year (if applicable) Morningstar Rating metrics. Amana Growth was rated against the following numbers of U.S.-domiciled Large Growth funds over the following time periods: 1361 funds Overall, 1361 funds in the last three years, 1065 funds in the last five years, and 387 funds in the last ten years. With respect to these Large Growth funds, Amana Growth received a Morningstar Rating of 5 stars, 5 stars and 5 stars for the Overall, three-, five- and ten-year periods, respectively. Amana Income was rated against the following numbers of U.S.-domiciled Large Value funds over the following time periods: 1037 funds Overall, 1037 funds in the last three years, 705 funds in the last five years, and 35 funds in the last ten years. With respect to these Large Value funds, Amana Income received a Morningstar Rating of 4 stars, 5 stars, 4 stars and 4 stars for the Overall, three-, five- and ten-year periods, respectively.