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S&P GCC Shariah

 

S&P GCC Shariah

The Gulf Cooperation Council (GCC) is an organization of six Arab states who share many social and economic objectives: Saudi Arabia, Bahrain, Oman, Qatar, United Arab Emirate, and Kuwait.

The S&P GCC Composite offers GCC investors an index that reflects the available float defined by the foreign investment limits applicable to GCC resident. The S&P GCC Investable reflects an index with the available float for non-GCC residents, which typically carries a higher restriction threshold. This index does not include Saudi Arabia due to its limited foreign investability. The S&P GCC Domestic country series reflects the local market activity, whereby the float market capitalization only adjusts for major shareholders and does not consider foreign investment limits.

S&P Indices also offers the S&P GCC Shariah index series, compliant with Islamic canonical law that is based on the teachings of the Koran. To ensure compliance with the laws, index constituents of S&P GCC index series are screened with specific criteria and then included in the compliant index.

Index Governance and Policy
The parent index is maintained by S&P Index Committees, whose members include Standard & Poor’s economists and index analysts. Working with the Shariah Supervisory Board and Ratings Intelligence Partners, the Shariah indices follow a set of published guidelines and policies that define the transparent methodologies used to maintain the indices.

SOURCE: http://www2.standardandpoors.com/portal/site/sp/en/us/page.topic/indices_gccshar/2,3,2,10,0,0,0,0,0,0,0,0,0,0,0,0.html

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