Shariah Group

Since its inception, Al Rajhi Capital has committed itself to applying the pure Shariah provisions and purposes in all its dealings, through establishing a Shariah Board that depends in its composition on the group of partners, who ratify its regulations. The Board is separate from all other departments in the Company, and its supervision and approval tasks are essential to all the Company's dealings and transactions. Such commitment is the most important quality standard that Al Rajhi is keen to adopt in the products and services it provides to its clients, in accordance with the following:

Shariah Board decisions are binding on all the Company's divisions and departments.

Applying the decisions of the Shariah Board is the responsibility of the executive departments at their various levels.

Products or services are provided only after the approval of Shariah Board.

Strictly avoiding any actions contrary to the decisions of the board.

Violating any of the decisions issued by Shariah Board in any form, violating an outstanding Shariah action, or providing a product or service without the approval of the board; all are deemed violative actions that call for a penalty.

Shariah Board supervises the activities carried out by the company in terms of Shariah, following up the implementation of its decisions through Shariah Supervision Department, which is associated to and appointed by Shariah Board.

Working on developing the forms and contracts in accordance with Shariah rules and achieving its purposes, in all company domestic and international transactions.

Spreading Islamic awareness in investment banking by appropriate means.

Constant interest in Shariah training to the employees of the Company, and educating the staff working in Islamic financial transactions with the appropriate means.

Working to ensure the proper application of Shariah decisions and facilitate controlling them through the issuance of appropriate evidence, notably the "Shariah Guideline" and the "Shariah Controls Guidelines" for the activities of the company.

Hence, all company employees should adhere to this policy and observe its content in their respective field of specialization. May Allah help us all to what he loves and accepts, rendering us all collaborators in righteousness and piety.

Sharia Board comprises of a number of competent, and highly knowledgeable members in Sharia, and they are as follows:

His Eminence Sheikh Dr. Saleh Ibn Mansour Al-Jarbou (Chairman)

Dr. Saleh obtained his bachelor’s, master's, and PhD degrees from Imam Mohammad Ibn Saud Islamic University, and works as the head of the Sharia board at Al Rajhi Takaful Cooperative Insurance Company, and he is a certified lawyer and arbitrator at the GCC Commercial Arbitration – Bahrain.

His Eminence Sheikh Dr. Saad Ibn Turki Al-Khathlan (Member)

Dr. Saad obtained his bachelor’s, master's, and PhD degrees from Imam Mohammad Ibn Saud Islamic University, and he is currently a professor in the Department of Jurisprudence at the College of Sharia at Imam Mohammad Ibn Saud Islamic University - Riyadh, the president of the Saudi Jurisprudence Association, and a former member of the Council of Senior Scholars in the Kingdom of Saudi Arabia.

His Eminence Sheikh Dr. Abdullah bin Muhammad Al-Luhaidan (Member)

Dr. Abdullah obtained his bachelor’s, master’s, and PhD degrees from Imam Muhammad bin Saud Islamic University. Currently, he works as a lawyer and arbitrator in Riyadh. Formerly, Dr. Abdullah worked as a judge and judicial inspector at the Ministry of Justice.

Shariah Department is a full-time administrative panel, which has a number of responsibilities to support the work of the board, through parallel tasks to ensure company's adherence in its business and its products to the decisions of Shariah Board, and adopts developmental works to serve Shariah side of the company in general

- Secretariat of Shariah Board.

- Shariah Control Department.

The main message of the Shariah Department is: creating distinct Islamic investments, forming a proper awareness about Islamic economics.

Through a team of Shariah advisers, the secretariat undertakes the responsibility of checking and verifying the transactions, products and contracts of the company and submitting them to Shariah Board; after preparing the necessary briefings and supportive research, through which advises are given to Shariah Board regarding the emerging issues, thus the board takes the appropriate decision in this regard. The secretariat is also undertaking a number of works and responsibilities, clarifying them as follows:

Receiving all the works, forms, and contracts the company receives, which requires the company's seeking Shariah guidance, and then studying them and preparing the necessary explanatory and researches notes thereof

Receiving all questions, queries and correspondence addressing the company; to be presented to the commission

Coordination of board meetings, fixing their dates, sending invitations to the members of the board, the preparation of meetings' agendas, and preparing all documents and schedules thereof, circulating them to all members

Preparation of meetings' minutes and following up as necessary till approved by the board

Preparing Shariah performance reports of the departments of the company

Participating in creating and developing forms, contracts and products

Preparation for scientific meetings and seminars in Shariah-related in respect of company's works

Keeping company's products and documents (minutes, resolutions, research, etc.) as related to the works of the board, rendering it easy to refer to them

Communicating with the relevant Shariah authorities in financial and other institutions; Shariah authorities, jurisprudential academies, and scientific institutions

Receiving all questions and inquiries from the clients, providing them Shariah advice

A supervisory panel consistent of a team, whose essential mission is to ensure company's functioning in accordance with Shariah policies developed by the company in resolution No. (1), depending on the policies of Shariah Supervisory Board, issued by Shariah Board in its resolution No. (2), including departments' adherence to decisions and directives of the board, and observing them strictly.

Its work can be summed up as follows:

Visiting the department of the company, reviewing the reports issued on the transactions and works of the company, and ensuring that the workflow adopts a proper shariah manner

Collecting supervisory notes, sorting and sending them to the relevant departments for corrections, and following up with them

Ensuring the company is adopting the designated shariah policy, and its application of whatever Shariah Board issues

Preparing periodic supervisory reports, indicating the conclusions to reviewing the products and services offered by the company

1. The Investment Funds
2. Private Portfolios
3. Purchasing commodities from the Supplier in the Global Markets
4. Unified Agreement for the Sale of Forward Commodities
5. Stock brokerage
6. Deferred Sale of Stocks
7. Mechanism for disposing of the illicit element
8. Subscription
9. Investment Accounts
10. Custody of the Investment Assets
11. Marketing, Management and Brokerage for Investment Portfolios
12. Researches and Studies
13. Mergers and Acquisitions (M&A)

• Prohibited behaviors used by speculators to influence securities