Kuwait Finance House-Turkey (KFH-Turkey) has established a new portfolio management firm, called KT Portfoy, for operating investment portfolios in Turkey-based banks.

The new firm, which will operate as per principles of Sharia, will provide private portfolio management and investment consultancy services to legal and real persons along with collective investment products.

KFH-Turkey executive vice president for treasury and international banking Ahmet Albayrak said: "The establishment of KT Portföy was a key part of the overall strategy we’d been implementing in asset management for the last couple of years as a follow-up to KFH-Turkey’s stepping up its operations in the field of sukuk in Turkey.

"I’m confident that KT Portföy is going to make a significant contribution to the development of the Turkish capital markets in keeping with the principles of Islamic finance."

KT Portfoy general manager Tayfun Ozkan said: "We’re going to both introduce new products and new investors – domestic and foreign – to the Turkish capital markets and bring new investment products to life through KT Portföy.

"We aim to contribute to the product diversity and transaction depth of the Turkish capital markets this way.

"KT Portföy is going to establish funds that will allow its customers to access the investment instruments outside Turkey by means of a diversified-risk portfolio or even by means of a foreign currency investment if they wish."