Daman Investments

What does Daman Investments do for your end of service savings?

It manages an umbrella fund with sub-funds for the end of service savings scheme. Your employer pays its monthly contributions into the fund, which invests them for you.¹ The UAE Government names the Daman Investments End of Service Programme as an approved fund under the scheme.² On 10 October 2024 the securities regulator announced that it had granted Daman Investments and National Bonds the first licences under the scheme.³

Daman Investments PSC was set up in 1998 and is licensed in the UAE for fund management, portfolio management and fund promotion. The fund administrator is Standard Chartered Bank UAE and the Sharia adviser is Amanie Advisors.¹

What funds can your savings go into?

Two capital protection sub-funds, each in classes for skilled workers’ basic contributions, unskilled workers’ basic contributions and voluntary contributions:¹⁴

• Daman Investments Capital Protection Fund, a conventional money market fund.
• Daman Investments Shari’ah Compliant Capital Protection Fund, investing mainly in Wakala deposits with highly rated banks and short-term Sukuk.⁵

Daman’s website and the conventional fund’s key information document describe its holdings differently. The website says mainly US Treasuries and deposits with highly rated banks in developed markets and the UAE.⁵ The key information document says deposits in local UAE banks and debt issued by the UAE federal or local governments.⁴ Ask Daman which applies to your fund.

The capital protection works through a reserve of up to 0.5% a year of the fund’s net asset value, and Daman may waive its management fee if needed. Daman says the reserve is not an extra fee.¹

What does it charge?

For the conventional capital protection fund, the key information document lists no subscription or redemption fee. Yearly charges taken from the fund are a 0.5% management fee, 0.47% platform fee, 0.06% administration fee and 0.04% custody fee, each of the fund’s net asset value and before VAT, plus an auditor’s fee.⁴

Ask your employer for the key information document of the fund you are placed in, as fees can differ by sub-fund.

How do you check your balance and get paid?

Daman provides an employee portal and app to view your account and fund performance.¹ Under the scheme rules your balance is due within 14 days of your job ending, or you can ask for it to stay invested.²

How do you contact Daman?

Its end of service hotline is +971 4 610 9666 and email damaneos@daman.ae.¹ Its website also lists 800 3397 and cs@daman.ae.⁵