Islamic FTSE index
FTSE International has launched a series of equity indices targeted at people who invest according to Islamic investment guidelines.
The FTSE Global Islamic Index Series was initially created by Islamic investment bank, The International Investor in January 1999. It was designed to track the performance of leading publicly traded companies whose activities are not inconsistent with Islamic Sharia principles.
Under these principles, stocks of companies involved in banking, alcohol, tobacco, gaming, insurance or pork production are excluded, as are those with an unacceptable debt ratio.
The TII index has now been incorporated into the FTSE family of indices, using the FT/S&P-Actuaries World Index as its universe. Sub-components of the Global Islamic Index Series are FTSE Americas Islamic Index, FTSE Europe Islamic Index, FTSE Pacific Basin Islamic Index and FTSE South Africa Islamic Index.
Islamic investing is growing by 12% to 15% a year, according to FTSE International.