Wednesday, February 22, 2006

Stock Market: Singapore launches Asia's first Shariah-compliant index

The Singapore Exchange (SGX) has announced the launch of Asia's first Shariah-compliant index, the FTSE SGX Asia Shariah 100 Index.

The U.S. dollar-denominated index is jointly developed by SGX, London-based index company FTSE Group which is owned by The Financial Times and the London Stock Exchange, and Yasaar Research,a British consultancy on Shariah, the Islamic laws.

100 Shariah-compliant stocks from Japan, Singapore, South Korea, Hong Kong and Taiwan include Toyota Motor,NTT DoCoMo, Samsung Electronics and China Mobile.

The index is the first of a series of FTSE SGX Shariah Indices to be launched, and is aimed at meeting the worldwide demand for Islamic financial products and attracting more investors from the Islamic world to invest in Asian markets.