The Shari’ah Top 40 Exchange Traded Fund (ETF) includes the Shari’ah compliant companies selected from the FTSE/JSE Top 40 index. The compliance with Islamic ethnic investment requirements involves screening procedures undertaken by FTSE/JSE and verified by Yasaar Ltd as being represented of the Shari’ah school of thought and practice.
The Shari’ah Top 40 excludes companies that provide financial services, deal in alcohol, certain food products, tobacco and weapons. Shari’ah compliant companies also have to adhere to certain financial rules and ratios to be acceptable. The Shari’ah Top 40 index screens the FTSE/JSE Top 40 companies and determines the inclusion and weighting of these companies in the index in terms of their compliance with Shari’ah principles.