Proceedings of the Asia-Pacific Research in Social Sciences and Humanities Universitas Indonesia Conference (APRISH 2019)

Investment Strategy in Sharia Mutual Funds: Case Study on the Indonesian Capital Market

Authors
Zaenal Arifin, Sri Mulyati
Corresponding Author
Zaenal Arifin
Available Online 31 May 2021.
DOI
https://doi.org/10.2991/assehr.k.210531.056How to use a DOI?
Keywords
Sharia Mutual Fund, Performance, Performance Persistence, Sharia Mutual Fund Characteristics
Abstract

Sharia (Islamic) mutual funds, which are one of the securities that are categorized as socially responsible investment funds, are experiencing rapid growth in Indonesia. For this reason, it is necessary to study the strategies to invest in sharia mutual funds in Indonesia. This study uses three aspects to guide investment strategies in sharia mutual funds: previous year’s performance of sharia mutual funds, capital market performance, and the characteristics of mutual fund companies. By using data of Islamic mutual fund in Indonesia from 2010 to 2018, this study offers the following strategies. To invest in fixed income mutual funds, select fixed income mutual funds which in the previous period were in the Top 5 returns. To invest in mixed mutual funds, choose newly issued mixed mutual funds, especially when that year there were several new mixed mutual funds offered. For stock mutual funds, choose mutual funds with the cheapest transaction costs and when the stock market is estimated to have good prospects.

Copyright
© 2021, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Download article (PDF)

Volume Title
Proceedings of the Asia-Pacific Research in Social Sciences and Humanities Universitas Indonesia Conference (APRISH 2019)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
31 May 2021
ISBN
978-94-6239-385-1
ISSN
2352-5398
DOI
https://doi.org/10.2991/assehr.k.210531.056How to use a DOI?
Copyright
© 2021, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Cite this article

TY  - CONF
AU  - Zaenal Arifin
AU  - Sri Mulyati
PY  - 2021
DA  - 2021/05/31
TI  - Investment Strategy in Sharia Mutual Funds: Case Study on the Indonesian Capital Market
BT  - Proceedings of the Asia-Pacific Research in Social Sciences and Humanities Universitas Indonesia Conference (APRISH 2019)
PB  - Atlantis Press
SP  - 434
EP  - 440
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.210531.056
DO  - https://doi.org/10.2991/assehr.k.210531.056
ID  - Arifin2021
ER  -