THE DEVELOPMENT OF SHARIAH-COMPLIANT LISTED CONSTRUCTION COMPANIES INDEX

Authors

  • Atasya Osmadi School of Housing Building and Planning, Universiti Sains Malaysia, Penang, Malaysia
  • Nor Mazni Zainuddin School of Housing Building and Planning, Universiti Sains Malaysia, Penang, Malaysia

DOI:

https://doi.org/10.11113/jt.v78.8267

Keywords:

Construction sector, Shariah-compliant

Abstract

It is paramount to choose the appropriate index which coordinates with the composition of a particular portfolio amid examining the performance. The purpose of this study is to examine the performance of Shariah-compliant construction sector involving construction companies listed inBursaMalaysia. The objective of this study is to develop Shariah-compliant indices comprising of construction sector and other Shariah-compliant sectors inBursaMalaysiafrom 2004 to 2014. These indices are intended to be used to assist investors to compare the performance of listed construction companies (35 Shariah compliant companies as in November 2014) with other asset classes. The data collected reflects a full year annual return of the companies in the sample for the period regardless of each company’s financial year. The findings are expected to show portfolio diversification benefits of investing in Shariah-compliant listed construction companies. This will encourage more investors, locally and internationally, to invest in Shariah-compliant construction companies.

References

Michael Orzano. 2014. How Indexing Impacts Shariah-Compliant Investing. McGraw Hill Financial.

Securities Commission Malaysia. 2014. http://www.sc.com.my/data-statistics/list-of-shariah-compliant-securities-by-scs-shariah-advisory-council/.

Atasya Osmadi, Norfaizah Kamalbaharin, Shardy Abdullah. 2015. The Dynamic Analysis of Malaysian Listed Construction Companies. Adv. Environ. Biol. 9(5): 94-97.

Graeme Newell and Atasya Osmadi. The Development And Preliminary Performance Analysis Of Islamic REITs in Malaysia. Journal of Property Research. 26: 329-347.

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Published

2016-04-18

Issue

Vol. 78 No. 5: May 2016

Section

Science and Engineering

License

Copyright of articles that appear in Jurnal Teknologi belongs exclusively to Penerbit Universiti Teknologi Malaysia (Penerbit UTM Press). This copyright covers the rights to reproduce the article, including reprints, electronic reproductions, or any other reproductions of similar nature.

How to Cite

THE DEVELOPMENT OF SHARIAH-COMPLIANT LISTED CONSTRUCTION COMPANIES INDEX. (2016). Jurnal Teknologi, 78(5). https://doi.org/10.11113/jt.v78.8267