For the sake of what! Buy Sharia Equity Mutual Funds Can Earn 97%

Jakarta, Armfalcon.com – Equity mutual funds are certainly a solution for those who want to invest in stocks, but don’t have the time or in-depth expertise to analyze stocks on the stock exchange. The good news is that several Islamic equity mutual funds have recorded fantastic returns of 97% in three years.

As is known, Islamic stock mutual funds actually have similarities with stock mutual funds in general. It’s just that the stocks in the mutual fund portfolio are stocks that are included in the Indonesian Sharia Stock Index.

The following summarizes the list of Islamic equity mutual funds with the highest returns over the past three years from Armfalcon.com Research.

Reasons to choose Islamic equity mutual funds

Speaking of stock mutual funds, this one mutual fund is designed in such a way that its performance can beat the reference stock index. However, as explained above, there is a special difference between ordinary equity funds and sharia mutual funds.

In addition to the composition of the shares in the portfolio, Islamic mutual funds have a cleansing feature or the process of cleaning profits from income that is not in accordance with Islamic principles.

The thing that underlies the cleansing is that there is no mutual fund custodian bank originating from Islamic banks. Funds that have settled will certainly receive interest from the bank which of course contains elements of usury.

Interest income must also be cleaned or put into practice, which is why this mechanism is called cleansing.

[Gambas:Video CNBC]