A Murabaha fund is a Shariah-compliant investment vehicle that generates returns through cost-plus-profit trade transactions.
How it works:
1- The fund purchases goods or assets (e.g., raw materials, equipment, commodities) that a client or business needs.
2- The fund then sells those goods to the client at a pre-agreed, marked-up price (cost + disclosed profit margin).
3- The client pays this fixed amount, usually in installments, over an agreed period.
