SBI Holdings, the Japanese financial services company, is preparing to launch an Islamic investment fund and an online brokerage company in India, according to a Wealth Management Summit organised by Reuters.

SBI senior executives said the firm is interested in building an Islamic presence in the Middle East, Indonesia, and Malaysia.

The new fund, worth around $112 million, is expected to be launched in 2010. It will be held equally with a partner, which has yet to be named, the news service added.

SBI currently sources most of its profits from its asset management, investment banking and brokerage units. It is looking to bolster its core industries through a wider investment strategy on emerging markets in Asia. Entering the Islamic finance space confirms the sector's potential as a lucrative investment area, especially after it has emerged almost unscathed following the global financial crisis.