ZAKI INVESTMENT PHILOSOPHY

Our Funds Are Professionally Managed by McLaughlin Asset Management (MAM)

  1. Every client has a Separably Managed Account (SMA). This offers flexibility to pick Islamic compatible stocks and accommodate client's preferences.

  2. Each stock is screened for compatibility with Islamic values by Zaki Financial and verified by an independent IdealRatings (according to AAOIFI standards).

  3. Stock screening method is reviewed, audited and approved by our Sharia Consultant Dr. Main Al-Quda, a US based scholar specialized in Islamic and Financial studies.

  4. From the approved stocks, the asset managers at MAM build professional and optimized income and growth models.

  5. MAM asset managers monitor and re-balance the models as needed.

  6. We base our decision on long-term goals, top-down macroeconomic understanding, and bottom-up fundamental analysis of every individual stock.

  7. We help Clients allocate their portfolio in different blends of Income and Growth based on their personal risk tolerance, goals, time to retire, liquidity needs and personal preferences.

  8. Clients accounts are in the custody of Charles Schwab so it is safe and protected in the name of the client at all time.

INCOME & GROWTH MODELS

Equity Income will emphasize large-cap high quality stocks seeking higher dividend yields relative to the broader market.  Equity Income seeks companies with reasonable valuations and a competitive advantage, with greater potential to consistently increase dividends. Emphasis is likely to be placed on companies with lower, but consistent earnings growth. Sector diversification will be utilized to avoid concentrations.  May include multi-cap stocks, including foreign stocks; likely to be less volatile than other growth strategies; however, may experience greater interest rate risk during periods of rising interest rates.   

Capital Growth will emphasize large-cap stocks seeking higher earnings growth and capital appreciation relative to the broader market.  Capital Growth emphasizes and seeks companies with reasonable valuations and a competitive advantage within allowable sectors and industries. Sector diversification will be utilized to avoid concentrations.  May include multi-cap stocks, including foreign stocks; and may experience increased volatility compared to other strategies and poses greater risk to loss of principal.            

ALLOCATION STRATEGIES

  • Equity Income (Conservative): 100% Equity Income. Best for retiree or near retirement investors

  • Income with Moderate Growth (Moderately Conservative): 75% Equity Income 25% Growth Equity

  • Growth and Income (Moderate): 50% Capital Growth 50% Equity Income

  • Growth with Moderate Income (Moderately Aggressive): 75% Capital Growth 25% Equity Income

  • Max Growth (Aggressive): 100% Capital Growth. Best for young investor with long time to retire

SMA: SEPARATELY MANAGED ACCOUNTS

  • We are not mutual fund company nor ETF.

  • We use SMA for every account.

  • This gives us the ability to screen out assets that are not compatible with Islamic values

  • SMA allows us to remove any additional investment based on the client's personal preference.

  • SMA also gives us greater flexibility to accommodate the client's needs.

MINIMUM MAY APPLY

  • Very diversified portfolio requires purchasing many stocks for the account and some are expensive. This may need a minimum of $50,000.

  • Diversified portfolio can be constructed with minimum of $10,000 but some very expensive stocks may need to be avoided.

  • For clients with accounts less than $10,000, we can still get good diversification and allocations by buying a basket of mutual funds. However, this may cause client to be paying our fee i the addition of the mutual fund internal fee. 

INVESTMENT MANAGEMENT FEE

  • The total management fee for actively managed models is 0.9% per year.

  • This is shared between Zaki Financial and McLaughlin Asset Management.

  • No front-load fees, no sales fees, and no marketing fees.

  • We do not sell any asset  or product for commission.

  • We will do only what is in the client's best interest.