FTSE Russell Factsheet

FTSE Shariah Global Equity Index Series

Data as at: 28 September 2018
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The FTSE Shariah Global Equity Index Series has been designed to be used as the basis of FEATURES
Shariah compliant investment products that meet the requirements of Islamic investors globally.
Coverage
Using the Large and Mid Cap stocks from the FTSE Global Equity Index Series as a base The FTSE Shariah Global Equity Index Series
universe, constituents are then screened against a clear set of Shariah principles. Shariah covers all regions across both developed and
screening is undertaken by Yasaar Limited, to create a Shariah compliant index series. Their
emerging markets, to create a
approach is described below.
comprehensive Shariah indexing solution.
Business Activity Screening
Impartial
Initially, companies involved in any of the following activities will be filtered out as non Shariah-
By partnering with Yasaar Ltd, an impartial
compliant:
consultancy and leading authority on

• Conventional finance (non-Islamic banking, finance and insurance, etc.); Shariah, FTSE remains neutral and fully up
• Alcohol; to date with latest practices.
• Pork related products and non-halal food production, packaging and processing or any other Fatwa-certified
activity related to pork and non-halal food;
The FTSE Shariah Global Equity Index Series
• Entertainment (casinos, gambling and pornography);
• Tobacco; weapons, arms and defence manufacturing. has been fully certified as Shariah-compliant
through the issue of a Fatwa (Islamic legal
opinion) by Yasaar's principals.
Financial Ratios Screening
Asset-based debt screening
The remaining companies are then further screened on a financial basis. The following financial
ratios must be met for companies to be considered Shariah-compliant: Unlike other competitor methodologies, a
more conservative approach to Shariah
• Debt is less than 33.333% of total assets; compliance is ensured by rating debt ratio
• Cash and interest bearing items are less than 33.333% of total assets; limits that are measured as a percentage of
• Accounts receivable and cash are less than 50% of total assets;
total assets, rather than more volatile
• Total interest and non compliant activities income should not exceed 5% of total revenue.
measures that use 12 month trailing market
5-Year Performance - Total Return capitalisation. This ensures companies do
(USD)
not pass the screening criteria due to market
160
price fluctuation, allowing the methodology
150
140 to be less speculative and more in keeping
130
with Shariah principles.
120
110 School-neutral
100
90 Yasaar Limited scholars represent all of the
80
major Shariah schools of thought, creating a
70
Sep-2013 Sep-2014 Sep-2015 Sep-2016 Sep-2017 Sep-2018 best practices approach that has credibility
Data as at month end
across the Islamic world.

Industry Classification Benchmark

FTSE Shariah All-World FTSE Shariah Developed FTSE Shariah Emerging FTSE All-World

Index constituents are categorised in

accordance with the Industry Classification
Benchmark (ICB), the global standard for
industry sector analysis.

Source: FTSE Russell as at 28 September 2018. Past performance is no guarantee of future results. 1 of 5
Returns shown before the index launch date reflect hypothetical historical performance. Please see disclaimer for important legal information.
FTSE Shariah Global Equity Index Series Data as at: 28 September 2018

Performance and Volatility - Total Return INFORMATION

Index (USD) Return % Return pa %* Volatility %**
Index Universe
3M 6M YTD 12M 3YR 5YR 3YR 5YR 1YR 3YR 5YR
FTSE Global Equity Index Series (Large and
FTSE Shariah All-World 4.7 6.2 4.7 10.3 47.6 50.7 13.9 8.5 9.2 11.1 9.8
Mid Cap stocks)
FTSE Shariah Developed 4.8 7.3 5.5 10.9 47.7 53.8 13.9 9.0 9.3 10.9 9.6

FTSE Shariah Emerging 4.0 -3.2 -1.8 5.1 46.3 20.2 13.5 3.7 13.0 15.6 14.5 Index Launch
FTSE All-World 4.4 4.9 4.0 10.2 48.1 55.8 14.0 9.3 9.1 10.9 9.7 29 October 2007

* Compound annual returns measured over 3 and 5 years respectively Base Date
** Volatility – 1YR based on 12 months daily data. 3YR based on weekly data (Wednesday to Wednesday). 5YR based on monthly data
22 September 2003
Return/Risk Ratio and Drawdown - Total Return
Base Value
Index (USD) Return/Risk Ratio Drawdown (%)
1000
1YR 3YR 5YR 10YR 1YR 3YR 5YR 10YR
Investability Screen
FTSE Shariah All-World 1.1 1.3 0.9 0.6 -9.7 -14.0 -19.8 -37.8

FTSE Shariah Developed 1.2 1.3 0.9 0.6 -9.7 -13.6 -18.6 -37.3 Actual free float applied and liquidity
FTSE Shariah Emerging 0.4 0.9 0.3 0.2 -15.8 -21.6 -39.5 -46.7 screened

FTSE All-World 1.1 1.3 1.0 0.5 -8.9 -14.1 -18.8 -43.9 Index Calculation

Real-time and end-of-day index available

Return/Risk Ratio – based on compound annual returns and volatility in Performance and Volatility table
Drawdown - based on daily data
End-of-Day Distribution
Year-on-Year Performance - Total Return Via FTP and email
Index % (USD) 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Review Dates
FTSE Shariah All-World -38.0 36.2 13.1 -6.0 13.4 20.4 3.9 -4.2 8.5 24.1
Quarterly in March, June, September,
FTSE Shariah Developed -35.2 31.0 12.6 -4.1 13.3 23.7 4.7 -3.2 8.1 23.1
December
FTSE Shariah Emerging -54.4 79.6 17.0 -18.6 14.2 -6.4 -3.9 -16.2 13.2 33.4
Currency
FTSE All-World -41.8 36.2 13.2 -7.3 17.1 23.3 4.8 -1.7 8.6 24.6
EUR, GBP, USD, Yen and Local (where
Top 10 Constituents - FTSE Shariah All-World specified)
Constituent Country ICB Sector Net MCap (USDm) Wgt %
Apple Inc. USA Technology Hardware & Equipment 1,089,670 5.76

Johnson & Johnson USA Pharmaceuticals & Biotechnology 370,431 1.96

Exxon Mobil Corporation USA Oil & Gas Producers 359,687 1.90

Pfizer USA Pharmaceuticals & Biotechnology 255,331 1.35

Nestle Switzerland Food Producers 251,993 1.33

Chevron USA Oil & Gas Producers 232,591 1.23

Intel Corp USA Technology Hardware & Equipment 217,989 1.15

Procter & Gamble USA Household Goods & Home Construction 207,020 1.09

Samsung Electronics Korea Technology Hardware & Equipment 196,631 1.04

Merck & Co USA Pharmaceuticals & Biotechnology 188,565 1.00

Totals 3,369,908 17.80

Source: FTSE Russell as at 28 September 2018. Past performance is no guarantee of future results. 2 of 5
Returns shown before the index launch date reflect hypothetical historical performance. Please see disclaimer for important legal information.
FTSE Shariah Global Equity Index Series Data as at: 28 September 2018

ICB Supersector Breakdown

FTSE Shariah All-World FTSE All-World

ICB Code ICB Supersector No. of Net MCap (USDm) Wgt % No. of Net MCap (USDm) Wgt %
Cons Cons

0500 Oil & Gas 109 2,750,837 14.53 148 3,150,064 6.65

1300 Chemicals 99 1,012,440 5.35 121 1,195,156 2.52

1700 Basic Resources 103 849,049 4.48 138 922,454 1.95

2300 Construction & Materials 89 513,035 2.71 117 661,194 1.40

2700 Industrial Goods & Services 272 2,485,656 13.13 461 5,490,298 11.59

3300 Automobiles & Parts 79 524,687 2.77 107 1,052,470 2.22

3500 Food & Beverage 64 575,232 3.04 152 1,683,408 3.55

3700 Personal & Household Goods 109 1,215,931 6.42 174 2,442,696 5.16

4500 Health Care 136 3,332,348 17.60 204 5,310,653 11.21

5300 Retail 76 741,684 3.92 189 3,205,396 6.77

5500 Media 24 162,538 0.86 80 1,030,655 2.18

5700 Travel & Leisure 25 193,474 1.02 132 1,144,047 2.41

6500 Telecommunications 41 423,000 2.23 89 1,299,037 2.74

7500 Utilities 80 544,947 2.88 166 1,352,915 2.86

8300 Banks 6 14,917 0.08 244 4,498,905 9.50

8500 Insurance - - - 127 2,154,841 4.55

8600 Real Estate 65 224,750 1.19 194 1,348,319 2.85

8700 Financial Services 6 18,228 0.10 165 2,020,880 4.27

9500 Technology 110 3,351,002 17.70 207 7,412,024 15.65

Totals 1493 18,933,754 100.00 3215 47,375,412 100.00

Source: FTSE Russell as at 28 September 2018. Past performance is no guarantee of future results. 3 of 5
Returns shown before the index launch date reflect hypothetical historical performance. Please see disclaimer for important legal information.
FTSE Shariah Global Equity Index Series Data as at: 28 September 2018

Country Breakdown
FTSE Shariah All-World FTSE All-World

Country No. of Cons Net MCap (USDm) Wgt % No. of Cons Net MCap (USDm) Wgt %

Australia 51 375,618 1.98 98 1,036,829 2.19

Austria 4 18,863 0.10 8 36,642 0.08

Belgium 3 31,594 0.17 13 153,638 0.32

Brazil 31 102,381 0.54 77 339,506 0.72

Canada 20 387,709 2.05 61 1,271,395 2.68

Chile 8 26,029 0.14 20 57,737 0.12

China 130 446,558 2.36 273 1,517,031 3.20

Colombia 3 8,585 0.05 10 23,408 0.05

Czech Rep. 2 4,591 0.02 5 9,829 0.02

Denmark 14 186,286 0.98 21 247,959 0.52

Egypt 3 1,377 0.01 9 9,412 0.02

Finland 10 121,778 0.64 14 165,755 0.35

France 46 888,858 4.69 86 1,567,455 3.31

Germany 51 877,480 4.63 85 1,390,183 2.93

Greece 5 7,024 0.04 11 15,898 0.03

Hong Kong 36 170,244 0.90 88 556,541 1.17

Hungary 2 7,161 0.04 4 16,169 0.03

India 58 212,509 1.12 139 494,464 1.04

Indonesia 18 37,477 0.20 30 97,042 0.20

Ireland 2 10,356 0.05 5 37,508 0.08

Israel - - - 30 86,028 0.18

Italy 19 191,963 1.01 38 364,541 0.77

Japan 297 1,950,388 10.30 520 3,952,385 8.34

Korea 63 522,429 2.76 133 747,454 1.58

Kuwait 6 7,665 0.04 7 11,758 0.02

Malaysia 25 74,168 0.39 47 147,753 0.31

Mexico 11 33,342 0.18 41 177,732 0.38

Netherlands 12 202,291 1.07 27 498,881 1.05

New Zealand 9 27,287 0.14 12 39,001 0.08

Norway 9 74,934 0.40 13 115,160 0.24

Pakistan 3 2,160 0.01 5 3,199 0.01

Peru 1 2,841 0.02 3 18,265 0.04

Philippines 7 9,985 0.05 24 53,336 0.11

Poland 6 20,685 0.11 14 51,700 0.11

Portugal 2 11,745 0.06 4 23,690 0.05

Qatar 12 24,838 0.13 17 51,238 0.11

Russia 19 131,105 0.69 35 197,641 0.42

Singapore 11 42,916 0.23 32 183,799 0.39

South Africa 35 89,732 0.47 81 333,302 0.70

Spain 11 180,897 0.96 32 439,039 0.93

Sweden 24 220,790 1.17 44 427,015 0.90

Switzerland 30 880,809 4.65 49 1,205,253 2.54

Taiwan 50 231,977 1.23 90 628,539 1.33

Thailand 15 80,353 0.42 40 169,917 0.36

Turkey 13 13,376 0.07 31 32,599 0.07

UAE 14 22,266 0.12 20 43,212 0.09

UK 66 1,307,352 6.90 142 2,693,274 5.68

USA 226 8,652,978 45.70 627 25,635,300 54.11

Totals 1493 18,933,754 100.00 3215 47,375,412 100.00

Source: FTSE Russell as at 28 September 2018. Past performance is no guarantee of future results. 4 of 5
Returns shown before the index launch date reflect hypothetical historical performance. Please see disclaimer for important legal information.
FTSE Shariah Global Equity Index Series Data as at: 28 September 2018

Index Characteristics
Attributes FTSE Shariah All-World FTSE All-World
Number of constituents 1493 3215

Net MCap (USDm) 18,933,754 47,375,412

Dividend Yield % 2.44 2.37

Constituent Sizes (Net MCap USDm)

Average 12,682 14,736

Largest 1,089,670 1,089,670

Smallest 18 18

Median 4,093 4,452

Weight of Largest Constituent (%) 5.76 2.30

Top 10 Holdings (% Index MCap) 17.80 11.12

28 September 2018

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Source: FTSE Russell as at 28 September 2018. Past performance is no guarantee of future results. 5 of 5
Returns shown before the index launch date reflect hypothetical historical performance. Please see disclaimer for important legal information.