Muscat Securities Market updates MSM Shariah Index

Muscat Securities Market (MSM) has announced the new reference companies for its MSM Shariah Index as of June 2016. The index identifies investments that comply with the requirements and provisions of Islamic law, contributing to the development and growth of the Islamic capital market sector.

MSMSI sample constituents:

1 A Saffa Foods
2 Al Anwar Ceramic Tiles
3 Al Jazeira Services
4 Al Kamil Power
5 Al Madina Insurance
6 Al Maha Ceramics
7 Bank Nizwa
8 Computer Stationery Industry
9 Dhofar Beverage & Food Stuff
10 Gulf Mushroom Products
11 Gulf Plastic Industries
12 Majan Glass
13 Muscat Gases
14 Muscat Thread Mills
15 National Biscuit Industries
16 Oman Cables Industry
17 Oman Cement
18 Oman Chromite
19 Oman Refreshment
20 Oman Telecommunications
21 Oman Textile Holding
22 Omani Qatari Telecommunications
23 Raysut Cement
24 Salalah Mills
25 Salalah Port Services
26 Shell Oman Marketing
27 Sweets of Oman
28 Takaful Oman Insurance
29 Oman Flour Mills
30 Al Izz Islamic Bank

The members of the MSM sample index must be compatible with the requirements of shari'ah regulations as stipulated by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI). MSM revises the sample quarterly adding companies that meet the standards and removing companies that no longer meet the regulations. Oman Textile Holding is new to the index, while Gulf International Chemicals and Oman Oil Marketing have left.

Interested?

View the rules for membership in the MSM Shariah Index

View the full list of companies in the Q1 2016 sample (PDF)

Read the Suroor Asia blog post about previous updates of the MSM sample index

List of shari'ah-compliant securities with Bursa Malaysia updated

The Shariah Advisory Council (SAC) of the Securities Commission Malaysia (SC) has approved an updated list of shari'ah-compliant securities which are listed on Bursa Malaysia.

Thirty-five securities have been newly classified by the SAC as shari'ah-compliant securities, while 39 securities have been removed, making a total of 667 securities.

The SAC, through the SC, will continue to review the shari'ah status of securities listed on Bursa Malaysia on an annual basis, based on the latest available annual audited financial statements of the companies. For the purposes of the list as of 27 November, the financial statements dated up to 30 September 2015 were studied.

Interested?

View the full list (PDF), which also includes details of how shari'ah compliance is determined.

Muscat Securities Market updates Shariah Index constituents

Muscat Securities Market (MSM) has announced the new reference companies for its MSM Shariah Index for the second quarter of 2015, the Oman News Agency has reported. The index identifies investments that comply with the requirements and provisions of Islamic law, contributing to the development and growth of the Islamic capital market sector.

The new list of 32 publicly listed companies will be used from 13 September:

1. Al Anwar Ceramic Tiles
2. Al Jazeera Services
3. Al Madina Takaful
4. Al Maha Ceramic 
5. Al Izz Islamic Bank
6. Bank Nizwa
7. Computer Stationery Industry
8. Construction Materials Industries
9. Dhofar Beverages
10. Gulf Mushroom Products
11. Majan Glass
12. Muscat Gases
13. Muscat Thread Mills
14. National Biscuit Industries
15. Oman Cables
16. Oman Chromite 
17. Oman Chlorine
18. Oman Cement
19. Oman Flour Mills
20. Oman Oil Marketing Company
21. Oman Refreshments
22. Ooredoo
23. Oman Sweets
24. Omantel
25. Oman Textile Holding
26. Raysut Cement
27. Salalah Flour Mills
28. A'Sharqiyah Investment Holding
29. Shell Oman Marketing 
30. A’Saffa Foods 
31. Salalah Port Services and 
32. Takaful Oman Insurance.

The members of the MSM sample index must be compatible with the requirements of shari'ah regulations as stipulated by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI). Two companies were replaced in the list accordingly. This time round, A'Sharqiyah Investment Holding and Salalah Port Services were added to the index. MSM revises the sample quarterly adding companies that meet the standards and removing companies that no longer meet the regulations. 

Interested?

View the rules for membership in the MSM Shariah Index

View the full list of companies in the September 2015 sample

Philippine Stock Exchange releases list of shari'ah-compliant listed firms

The Philippine Stock Exchange has updated its quarterly list of Shari'ah-compliant securities for the period of January to June 2015. The list is released by the 5th trading day of the month after each quarter.

Third party IdealRatings screens listed companies in accordance with shari'ah compliance as stipulated by the Accounting and Auditing Organization Institutions. The companies must meet specific criteria, such as ensuring that the nature of the company's primary business does not involve conventional interest-based lending, financial institutions, insurance, derivatives, pork, alcohol, tobacco, arms and weapons, embryonic hotels, gambling, casinos, music, cinema and adult entertainment. If revenue is derived by the company from such prohibited businesses, it must not exceed 5% of its gross revenues. Other regulations govern interest-bearing debt, interest-bearing deposits and accounts receivables.

A total of 53 companies were in the list, including Globe Telecom, Jollibee Foods and Pepsi-Cola Products Philippines, Philippine Long Distance Telephone Company, and Robinsons Land.

Interested?

View the full list

posted from Bloggeroid

Indonesian government auctioning sukuk on October 7

The government of Indonesia will hold a government shari'ah securities (SBSN) auction on the morning of October 7, 2014 with results announced that afternoon. The SBSN series to be auctioned are Project Based Sukuk series PBS005 (reopening), PBS006 (reopening), and the short-term Sukuk series SPN-S 08042015 (new issuance). The SPN-S sukuk are being auctioned in part-fulfilment of financing targets stated in the 2014 State Budget.

The auction of these government bonds will be conducted through the auction system provided by Bank Indonesia as the agent of the SBSN auction. The auction will be an open auction, allowing both individual investors and institutions in principle to offer bids. However, the bids shall be conducted only with registered auction participants which have obtained the authority from the Ministry of Finance.

Settlements are due on October 9 and will be conducted through BI-SSSS (Bank Indonesia-Scripless Securities Settlement System) and shall only be held with the auction participants. Those who offer a competitive bid shall pay according to the yield proposed. Those who offer a non-competitive bid shall pay according to the weighted average yield of non-competitive bidding won. The government has the right to sell those SBSNs at higher or lower than the indicative amount.

SBSN series SPN-S 08042015 will be issued using the ijarah sale and lease back method while PBS005 and PBS006 use the ijarah asset to be leased akad (covenant) method. 

More information is available here.

Bahrain's Sukuk Al-Salam Islamic securities oversubscribed by 306%

The Central Bank of Bahrain (CBB) announced on 21 July that the monthly issue of the Sukuk Al-Salam Islamic securities for the BD36 million issue, which carries a maturity of 91 days, has been oversubscribed by 306%.

The expected return on the issue, which begins on 23 July 2014 and matures on 22 October 2014, is 0.70%, unchanged from the previous issue.

The securities are issued by the CBB on behalf of the Government of the Kingdom of Bahrain.

The news follows a 15 July announcement that the monthly issue of the short-term Islamic leasing bonds, Sukuk Al-Ijara, had been oversubscribed by 240%.

Subscriptions worth BD48 million were received for the BD20 million issue, which carries a maturity of 182 days.

The expected return on the issue, which began on 17 July 2014 and matures on 15 January 2015, is 0.80 % compared to 0.85% for the previous issue on 19 June 2014.

Sukuk Al-Ijara are also issued by the CBB on behalf of the Government of the Kingdom of Bahrain.

Securities Commission Malaysia updates list of shari'ah-compliant securities

The Securities Commission Malaysia (SC) has released an updated list of shari'ah-compliant securities approved by its Shariah Advisory Council (SAC).

The updated list features a total of 665 shari'ah-compliant securities, including 28 newly classified shari'ah-compliant securities and excludes nine from the previous list issued in November 2013. These counters constitute 73% of the 905 listed securities on Bursa Malaysia.


The full list, which is updated twice a year based on the companies’ latest annual audited financial statements, is now available on the SC website. The next list will be made available in November 2014.

Malaysia's SIDC has trained 400 professionals for the Islamic capital market to date

Source: SIDC. ICMGTS graduates posing with VIP guests at the tenth ICMGTS graduation ceremony. VIP guests (seated, from left in fourth position): Azman Hisham Che Doi, Chief Executive Officer, SIDC, Zainal Izlan, Executive Director, Islamic Capital Market, SC, and Sarimah Ramthandin, Director, Training and Investor Education Division, SIDC.

The Securities Industry Development Corporation (SIDC) has passed the milestone of producing 400 entry-level professionals for the Islamic capital market (ICM) sector with the graduation of 38 Islamic Capital Market Graduate Training Scheme (ICMGTS) participants from the programme’s tenth intake in Kuala Lumpur recently.

ICMGTS is a bi-annual Securities Commission Malaysia (SC) training programme conducted by SIDC to develop young talent for careers in the ICM. The eight-week programme aims to provide participants with a technical understanding of the ICM and work-relevant soft skills. It is endorsed by an industry task force consisting of the SC, Bursa Malaysia, the Federation of Investment Managers Malaysia (FIMM), Association of Stockbroking Companies Malaysia (ASCM), Malaysian Investment Banking Association (MIBA) and Malaysian Association of Asset Managers (MAAM).

SIDC Chief Executive Officer Azman Hisham Che Doi, who presented awards at the graduation ceremony to recognise the best performers, said, “ICMGTS is one of SIDC’s many successful talent development programmes to support the growth of the Malaysian capital market industry. To date, approximately 85% of the ICMGTS alumni have been accepted as part of the industry’s workforce, indicating the relevance and importance of the programme.
 
“SIDC programmes aim to enhance the competencies of market professionals, who play an important role in promoting competitiveness in the Malaysian capital market as well as creating investor confidence. Recognising this, SIDC works closely with all stakeholders including the regulator, exchanges, intermediaries, industry players and investors to provide value proposition in the programmes we offer.”

Applications are now open for the eleventh ICMGTS intake, commencing August 2014. All Malaysians aged 30 years and below with a recognised second class upper degree or equivalent in related disciplines are eligible to apply. Successful candidates will receive a monthly allowance of RM2,000 during the training period. The programme also offers participants the opportunity to be interviewed by potential employers as well as sit for the SC’s licensing examinations to qualify as licensed intermediaries.

Detailed application information is available at www.sidc.com.my.