The Dhaka Stock Exchange has taken steps to familiarise the recently launched shariah-compliant index as an investment tool to institutions.
The premier bourse yesterday sat with Islamic financial institutions, including banks, non-bank financial institutions, insurance companies and asset management firms.
“We highlighted the key features of the shariah-based index to the top executives of the institutions and they expressed their interest in investing in the securities under the index,” DSE President Ahsanul Islam said at a media briefing after the meeting.
The Dhaka bourse introduced the index—DSES Index—that was designed and developed by S&P Dow Jones Indices Methodology, a global leader in providing investable and benchmark indices for financial markets, on January 19. DSE's aim was to meet the requirements of the Islamic fund investors.
The DSE president said the representatives from the Islamic financial institutions would raise the issue with their respective boards to take investment decisions in securities.
The index was launched for people and institutions who want to invest in shariah-compliant securities and products, he added.
Some 70 listed companies are under the DSES Index that fell 0.9 points to 974 points in yesterday's trade.
An investor, individual or institution, will have to pay fees to know the companies under the index, but no one can disclose the names of the companies trading in the index, according to the DSE.
Companies engaged in advertising and media, news or sports channel, newspaper, alcohol, cloning, tobacco, gambling and trading of gold and silver are not included in the shariah index.