{{Use dmy dates, date=November 2019
The Dow Jones Islamic Market Index (DJIM), launched in 1999 in Bahrain, was the first
index
Index (or its plural form indices) may refer to:
Arts, entertainment, and media Fictional entities
* Index (''A Certain Magical Index''), a character in the light novel series ''A Certain Magical Index''
* The Index, an item on a Halo megastru ...
created for investors seeking investments in compliance with MuslimSharia law.
The DJIM has an independent Shari’ah (Islamic Law) Supervisory Board. The DJIM screens have been adopted by the Accounting and Auditing Organization for Islamic Financial Institutions ("AAOIFI")-Standard 21.
The DJIM measure the performance of a global universe of investable equities that have been screened for Shari’ah compliance consistent with Dow Jones Indexes’ methodology. The selection universe for the DJIM family of indexes is the same as the universe for the Dow Jones World Index, a broad-market index that seeks to provide approximately 95% market coverage of 44 countries.
The first level of DJIM screening removes companies involved in industries related to
alcohol
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* Alcohol (drug), an intoxicant found in alcoholic drinks
Alcohol may also refer to:
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,
pork
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Pork is eaten both freshly cooked and preserved ...
-related products, conventional
financial services
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(e.g.
bank
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Becau ...
s and
insurance companies
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),
entertainment
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(e.g.
hotel
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s,
casino
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s,
gambling
Gambling (also known as betting or gaming) is the wagering of something of Value (economics), value ("the stakes") on a Event (probability theory), random event with the intent of winning something else of value, where instances of strategy (ga ...
etc.),
tobacco
Tobacco is the common name of several plants in the genus '' Nicotiana'' of the family Solanaceae, and the general term for any product prepared from the cured leaves of these plants. More than 70 species of tobacco are known, but the ch ...
, and
weapon
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s and defense. A second level of DJIM screening based on financial ratios, is intended to remove companies based on debt and interest income levels in their balance sheets.
Stocks of companies that pass both sets of screens are included in the DJIM. All other indexes in the DJIM family are created as subsets of this benchmark.
Bibliography
*Baum, Eric (2002). "Mutual Funds Report." ''
The New York Times
''The New York Times'' (''the Times'', ''NYT'', or the Gray Lady) is a daily newspaper based in New York City with a worldwide readership reported in 2020 to comprise a declining 840,000 paid print subscribers, and a growing 6 million paid ...
''. October 6.
*Henry, Clement and Rodney Wilson (2004). ''The Politics of Islamic Finance''. Edinburgh: Edinburgh University Press.
See also
*
S&P Dow Jones Indices
S&P Dow Jones Indices LLC () is a joint venture between S&P Global, the CME Group, and News Corp that was announced in 2011 and later launched in 2012. It produces, maintains, licenses, and markets stock market indices as benchmarks and as th ...