CONCLUSION

Mr. Ahmad is in a strong financial position with substantial assets and a moderate level of liabilities. His primary financial goals are to fund his children’s education, save for retirement, and preserve and grow his wealth in a Shariah-compliant manner. Given his moderate to low risk tolerance and medium to long-term investment horizon, a diversified portfolio that balances growth and stability while adhering to Shariah principles is essential.

1. Children’s Education Fund:

• Short-term Sukuk: Invest in short-term Sukuk (Islamic bonds) to ensure liquidity and safety of principal for the eldest child’s university fees in 2 years.

• Education Savings Plan: For the younger children, consider a Shariah-compliant education savings plan or a mix of Sukuk and Shariah-compliant mutual funds to grow the funds over the next 5 to 8 years.

2. Retirement Savings:

• EPF Contributions: Continue contributing to the EPF account, ensuring it is invested in Shariah-compliant options.

• Shariah-compliant Mutual Funds: Allocate a portion of savings to Shariah-compliant mutual funds with a balanced risk profile to achieve growth while preserving capital.

• Real Estate Investment: Consider investing in additional Shariah-compliant real estate properties that can generate rental income, contributing to the retirement fund.

3. Wealth Preservation and Growth:

• Diversified Portfolio: Create a diversified portfolio including:

     Equities: Invest in Shariah-compliant stocks or equity funds focusing on stable, dividend-paying companies.

     Sukuk: Allocate a portion to Sukuk for steady income and capital preservation.

     Real Estate: Maintain and potentially expand real estate holdings for long-term growth and income.

• Regular Review: Conduct regular reviews of the investment portfolio to ensure alignment with financial goals and market conditions.

4. Debt Management:

• Loan Repayment: Prioritize repaying the home loan and business loan to reduce liabilities and improve cash flow.