In a landmark move for the Islamic investment industry, the world gold council (WGC) and Dubai Multi Commodities Centre (DMCC) announced their partnership to launch fully Shariah-compliant Dubai Gold Shares with the intent to list them on the Dubai International Financial Exchange (DIFX) under the trading symbol ‘GOLD’.
DMCC aims to operate and manage this initiative through Dubai Commodities Asset Management (DCAM), a 100% DMCC-owned UAE-based Investment Company set up last month.
DCAM has been established with the objective to develop and seed commodity-linked investment products for distribution in the UAE and other markets.DCAM and the WGC will establish a joint venture company (Dubai Gold Investments – DMCC) ahead of launching the Dubai Gold Shares, DMCC release said.
Dubai Gold Shares will provide investors with secure, low-cost access to owning gold bullion without the additional costs normally associated with insuring, storing and transacting in physical gold. Investors get the opportunity to trade holdings in gold bullion on the DIFX in a Shariah-compliant manner.