Al-Amin Islamic Funds (UBL) 2025 Review: Halal Returns, Fees & How to Invest

Islamic finance has gained significant traction among investors seeking halal investment opportunities, and Al-Amin Islamic Funds by UBL (United Bank Limited) stands out as a leading choice in Pakistan. This guide covers everything you need to know—fund types, performance, benefits, risks, and how to invest—while ensuring compliance with Sharia principles.

What Are Al-Amin Islamic Funds?

Al-Amin Islamic Funds are Sharia-compliant mutual funds managed by UBL Fund Managers, a subsidiary of United Bank Limited (UBL). These funds operate under Islamic finance principles, avoiding riba (interest), gharar (excessive uncertainty), and haram (forbidden) industries (e.g., alcohol, gambling, conventional banking).

Key Features of Al-Amin Islamic Funds

100% Sharia-compliant – Screened by a Sharia Supervisory Board.
Diverse Fund Options – Equity, income, and money market funds.
Competitive Returns – Historically strong performance compared to conventional funds.
Low Minimum Investment – Accessible to retail investors.
Professional Management – Managed by UBL’s expert Islamic finance team.

Types of Al-Amin Islamic Funds (2024)

UBL offers multiple Sharia-compliant funds under the Al-Amin brand:

1. Al-Amin Islamic Stock Fund

Objective: Capital appreciation through Sharia-compliant equities.
Risk Level: Moderate to High
Suitable For: Long-term investors seeking growth.

2. Al-Amin Islamic Cash Fund

Objective: Short-term liquidity with low risk.
Invests In: Islamic money market instruments.
Suitable For: Conservative investors or emergency funds.

3. Al-Amin Islamic Income Fund

Objective: Steady returns through Sukuk (Islamic bonds) & Islamic debt instruments.
Risk Level: Low to Moderate
Suitable For: Investors seeking halal fixed-income alternatives.

4. Al-Amin Islamic Asset Allocation Fund

Objective: Balanced growth with mixed equity and debt investments.
Risk Level: Moderate
Suitable For: Investors wanting diversification.

Performance & Returns (2023-2024)

Al-Amin Funds have shown competitive returns while adhering to Islamic principles:

Fund Name	1-Year Return	3-Year CAGR	Risk Level
Al-Amin Islamic Stock Fund	~22%	~18%	High
Al-Amin Islamic Income Fund	~12%	~10%	Low-Moderate
Al-Amin Islamic Cash Fund	~9%	~8%	Low

(Data as of June 2024; past performance not indicative of future results.)

How to Invest in Al-Amin Islamic Funds

Step 1: Choose a Fund

Decide based on risk tolerance & financial goals.

Step 2: Open an Investment Account

Visit UBL Funds’ website or a UBL branch.
Submit CNIC & basic KYC documents.

Step 3: Invest Online or via Bank

Online: Through UBL’s investor portal.
Bank Branch: Visit any UBL branch for assistance.

Step 4: Monitor & Redeem

Track performance via UBL Funds’ portal.
Redeem units anytime (subject to fund terms).

Benefits of Investing in Al-Amin Islamic Funds

Halal & Ethical Investing – No involvement in haram businesses.
Diversification – Multiple funds for different risk appetites.
Professional Management – Expert Sharia-compliant portfolio managers.
Liquidity Options – Easy redemption (except for closed-ended funds).
Tax Benefits – Potential tax advantages under Pakistani law.

Risks & Considerations

Market Risk – Equity funds can fluctuate.
Lower Liquidity in Some Funds – Not all funds allow daily withdrawals.
Sharia Compliance Changes – Investments are periodically reviewed for adherence.

Al-Amin vs. Conventional Mutual Funds

Factor	Al-Amin Islamic Funds	Conventional Mutual Funds
Sharia Compliance	Yes	No
Interest (Riba)	Avoided	May include
Investment Scope	Halal-only businesses	No restrictions
Returns	Competitive, but screened	Potentially higher (higher risk)