• The Endowment Practices Forum 2020 recommends the formation of exchange reserves and their investment in a liquid, low-risk form


    ​It was organized by the Asharqia Chamber under the patronage and honor of His Highness Prince of the Eastern Province​

    The Endowment Practices Forum 2020 recommends the formation of exchange reserves and their investment in a liquid, low-risk form​

    The Endowment Practices Forum 2020 recommended the necessity of creating exchange reserves and investing them in a low-risk medium, and not managing investments in the same way as managing real estate assets, with the need for a clear investment policy in the endowment,
    The Awqaf Forum 2020 was organized by the Asharqia Chamber in a strategic partnership with the Endowment Authority, Monday, November 30, 2020, through visual communication technology, and witnessed a large presence of specialists and those interested in the field of endowments, and it came under the title (Return on Investment on Endowments) and was inaugurated by His Royal Highness, the Prince. Saud bin Nayef bin Abdulaziz Al Saud », Governor of the Eastern Province, and Honorary Chairman of the Endowments Committee.
    The forum stressed in its closing statement, delivered by a member of the Endowments Committee in the Asharqia Chamber, Dr. Ahmed Al-Dowayan, a member of the Chamber's Endowment Committee, that the distribution of investments in a professional manner leads to the great achievement of the endowment goals, and pointed to the importance of spreading awareness of the importance of shifting to modern methods of investing endowments. This is by making use of successful local or international experiences in investment and applying the appropriate ones, in addition to the necessity to ensure the diversification of endowment investment portfolios to reduce risks while setting investment objectives and determinants and seeking the help of experts and specialists, in order to achieve the best results and reduce risks to endowments.
    The forum also recommended the importance of adopting the applications of governance, whether in managing the endowment or representing the endowment in investment in a way that does not impede its growth and profitability and exit from the circle of cognitive bias among investment decision-makers, with a commitment to the stability of the exchange and not to change it, in addition to not being linked to the annual results of the calculation of the exchange and looking further than So, given the consideration of inflation and its implications​.
    The forum ended with a call to invest in replacement and renewal reserves and to reliably estimate their expected growth, with the importance of investigating fairness in the benefits emanating from the endowment among the generations of beneficiaries, as well as establishing the principles and values of the necessity of caring for the growth of the endowment, not maximizing returns, developing its origin and not fixing or increasing the exchange.
    The Endowment Committee of the Asharqia Chamber intends to place the forum’s working papers in a book as a way out for this forum that includes recommendations and all working papers that were put forward at the forum and will be submitted to the Asharqia Chamber’s website.​

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