FTSE/JSE Shariah All Share – So what is it?
The FTSE/JSE Shariah All Share Index is designed to reflect the Shariah compliant companies from the FTSE/JSE Africa All Share Index as screened by Yasaar from the FTSE/JSE Africa All Share Index. Shariah is the Divine Islamic Law which governs the practical aspect of a Muslim's daily life. In commerce, it can determine business style and indicate a desire to comply with 'halal' (Islamic permitted) and ethical investing.
Index Construction
The Shariah screening from Yasaar will be reassessed quarterly in March, June, September and December. The Shariah screening process uses data as at the last day of February, May, August and November and implemented on the working day after the third Friday of March, June, September and December.
- An overview of the Yasaar / FTSE stock screening criteria is listed below:
- Companies involved in the following activities will be considered to be non permitted business sectors:
- Conventional Finance (non Islamic Banking, Finance and Insurance, etc.)
- Alcohol
- Pork related products and non-halal food production, packaging and processing or any other activity related to pork and non-halal food
- Entertainment (Casinos, Gambling, Cinema, Music, Pornography and Hotels)
- Tobacco
- Weapons, arms and defence manufacturing
| Characteristic | Definition |
| Name | FTSE/JSE Shariah All Share Index |
| Index code | J143 |
| Universe | All Share |
| Capping | None |
| Liquidity screening | Yes |
| Free float screening | Minimum of 15% |
| Other Screening | Shariah compliance by Yasaar |
| Calculation Method | Free float Market Cap weighted |
| Index Category in the FTSE/JSE Africa Index Series | Specialist |
| Dissemination | Real time(every 60 seconds) and End of Day |
| Corporate Actions | Identical treatment as per the current All Share. |
| Total return | Calculated End of Day |
| Index review | Quarterly |
| Data elements (Shares in issue, price, etc) | Identical to the current All Share index |
| Buffers | None |
| Derivatives | None |
| History | 22.09.2003 (Only Index Values) |
| Base Date | 22.09.2003 |
| Base Value | 1 000 |
| Live Date | 12.11.2007 |
For further details on the Shariah screening methodology and Yasaar, please refer to FTSE Shariah Global Equity Index Series Ground Rules available on www.ftse.com.