Shariah-compliant securities are securities of a public-listed company which have been classified as Shariah permissible for investment, based on the company’s compliance with Shariah principles in terms of its primary business and investment activities as well as financial position.
In classifying these securities, the SAC adopts a two-tier quantitative approach which applies the business activity benchmarks and financial ratio benchmarks, in determining the Shariah status of the securities.
