Nasdaq OMX Group has launched two new Sharia-compliant indexes based on the Nasdaq-100 Index and the OMX Stockholm Benchmark Index (OMXSB) for investors who wish to develop and maintain an Islamic investment portfolio.
The Nasdaq said that newly launched Nasdaq-100 Sharia Index (N100SI) and the OMX Stockholm Benchmark Sharia Index (OMXSBSHARIA) are designed to track the performance of securities in their underlying indexes that meet the Sharia requirements as prescribed by the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI) and adopted by Nasdaq OMX with the guidance of the Sharia advisor, BMB Islamic UK.
The Nasdaq-100 Index includes 100 of the major domestic and international non-financial securities listed on the Nasdaq stock market based on market capitalization. The OMX Stockholm Benchmark Index consists of the 80 to 100 largest and most traded stocks on Nasdaq OMX Stockholm, representing all sectors.
John Jacobs, executive vice president of Nasdaq OMX, said: “The Nasdaq-100 Sharia Index and the OMX Stockholm Benchmark Sharia Index were developed to meet increasing demand for a wider variety of Islamic investment opportunities.”
Humayon Dar, who heads the Sharia monitoring process for the indices and CEO of BMB Islamic, said: “The new Sharia indices by Nasdaq OMX herald a new era of Islamic investing, especially for those who are looking for sophisticated Sharia compliant solutions beyond plain vanilla Islamic equity funds.”