This study aims to present the reality and performance of Islamic investment funds and their role in activating and revitalizing the Islamic financial market as an important investment tool in pooling and channelling savings towards different investments in ways consistent with legal provisions. In order to achieve the objectives of the study, the analytical descriptive approach was adopted to read and analyze data related with both the Islamic financial funds and the Islamic financial market. The study concluded that Islamic investment funds are one of the innovative financial instruments that emerged as financial innovations accelerated, in response to investors growing desire to find financial instruments compatible with the provisions of Islamic Shari'a, and it ensures for them achieve added value and help them to reduce risks. The study also concluded that Underwriting issued by Islamic investment funds represent a purchasing power in the Islamic financial market by providing the necessary liquidity to investors. The study recommended to activate the idea of investment funds as a mechanism to support Islamic banking and the Islamic financial industry in general, as it is able to mobilize savings and support Islamic banking finance with the necessary of create an environment conducive to the operation of these legislative facilities to give them all incentives to carry out her activitie