Out of its extensive experience in Shariah and Financial screening, IdealRatings has partnered with the top index providers worldwide to present unique indexes that cater to the benchmarking needs of asset and fund managers, and as well to cover the multiple asset classes and territories. IdealRatings has partnered with Russell Indexes, MSCI, FTSE and Thomson Reuters. Through these partnerships and collaborations, Investors are offered a comprehensive suite of Equity and Sukuk indices. Further, IdealRatings calculates custom indices for Mutual funds and financial institutions as per their own guidelines and mandate. The Index building process starts from a universe of 40,000+ equities, which is segmented by region and run through extensive stock research and screening, followed by a tight index calculation methodology, a process that achieves the highest alpha attainable.
The Russell-IdealRatings Islamic Index offers investors an accurate and complete global-equity market index that reflects established Shariah investment guidelines. Combining the deep experience of the Russell Indexes and the oversight of IdealRatings, these indexes accurately represent the global Shariah compliant opportunity set. After going through the screening process, the Index includes approximately 3,200 securities from 45 countries, covering emerging and developed regions.
Through their partnership in 2011, Thomson Reuters and IdealRatings have brought about a suite of Islamic indexes that combine the unique, research-based Shariah compliance screening performed by IdealRatings with Thomson Reuters’ unique Equity Index methodology that uses same free float, market capitalization weighting methodology as all other Thomson Reuters Global Equity Indices. The index family thus help Shariah fund managers drive highest alpha in benchmarking and compliance.
IdealRatings Index family segmentations allows for the perfect benchmarking for the different Markets, geographies, currency denominations, industry sector, financial indicators, social responsibility and ethical investing and Shariah compliance. On the Islamic Indexes front, IdealRatings has developed its own unique set of Shariah compliant indices, which considers Shariah compliance, as a key eligibility criterion, with respect to various rulebooks.