Bursa Malaysia launches F4GBMS comprising shariah-compliant equities

Publish date: Mon, 05 Jul 2021, 07:54 PM
KUALA LUMPUR: Bursa Malaysia Bhd and FTSE Russell, a leading global index provider, today launched the FTSE4Good Bursa Malaysia Shariah (F4GBMS) index to serve as a basis for fund managers to develop new investment products comprising a portfolio of Shariah-compliant equities guided by sustainable investing principles.
 
Such investment solutions include the Environmental, Social and Governance (ESG) Mustadamah Fund created by MIDF Asset Management launched in June 2021.
 
The composition of the index, which comprises 54 constituents as of June 2021, is reviewed semi-annually in June and December.
 
"This new ESG themed index is designed to track constituents in the FTSE4Good Bursa Malaysia Index (F4GBM) that are Shariah-compliant, according to the Securities Commission Malaysia Shariah Advisory Council screening methodology.
 
 
"We are pleased to offer a Shariah version of our respected F4GBM index, which has played an essential role in recognising public-listed companies that have taken steps to improve their ESG practices and disclosures," Bursa Malaysia chief executive officer Datuk Muhamad Umar Swift said in a statement today.
 
He added that the launch of the index highlighted the exchange's commitment in meeting the market's indexing needs, as it focused on diversifying and expanding the index offerings to include more thematic and style indices.
 
Meanwhile, FTSE Russell head of sustainable investment, APAC, Helena Fung said widely tracked by exchange-traded funds and other passive vehicles, the FTSE4Good indices have a powerful track record of fostering improvements in corporate sustainability performance by increasing eligibility requirements over time.
 
"Working with our partners at Bursa Malaysia, it is important that we add Shariah-compliant versions of the popular F4GBM index to cater to investor demand for ESG and Shariah-compliant index solutions," she said.
 
 - Bernama

 

Discussions
Be the first to like this. Showing 1 of 1 comments

trum

pointed out that the negative news flow on the ESG front is likely to hamper any price recovery for the sector, and things may get worse before they get better.

2021-07-31 10:02

Post a Comment