Dow Jones Indexes to launch Takaful Index

Dow Jones Indexes is expanding its Dow Jones Islamic Market Indexes series by launching the Dow Jones Islamic Market Global Finance & Takaful Index, which measures the performance of financial services stocks that pass rules-based screens for Shari’ah compliance.
The new index, designed to provide broader coverage of the Shari’ah-compliant financial services sector, will serve as a benchmark and an underlying instrument for investment products such as mutual funds and exchange-traded funds (ETFs).


“The Dow Jones Islamic Market Indexes is a unique series that combines faith-based principles and benchmarking,” said Michael A. Petronella, president, Dow Jones Indexes. “Our index family was the first to market and has clearly set the standards of Islamic indexing around the world. And, once again, with the launch of the Dow Jones Islamic Market Global Finance & Takaful Index, we are providing the market with the first benchmark of its kind for these combined sectors.”


Eligible companies are banks, insurance and financial services companies. Included in the index are those stocks that pass financial ratio screens that are less than 33 per cent in total debt, divided by trailing 24-month average market capitalisation; cash plus interest-bearing securities, divided by trailing 24-month average market capitalisation; and accounts receivables, divided by trailing 24-month average market capitalisation.


The dollar-denominated Dow Jones Islamic Market Global Finance & Takaful Index is weighted based on float-adjusted market capitalization, with the weight of individual stocks restricted to 15 per cent. The index composition is reviewed quarterly in March, June, September and December; it is also regularly reviewed to account for corporate actions such as mergers, de-listings or bankruptcies.

Courtesy by: CPI Financial

Al Khaleej Takaful 2010 net profit rises to QR73mn

Al Khaleej Takaful Insurance and Reinsurance has reported a 7% growth in its 2010 net profit to QR72.84mn as total income grew much faster than expenses.

The company, which is proposing to change its name to Alkhaleej Takaful Group, has suggested 30% cash dividend; which will have to be approved by shareholders at the annual general assembly scheduled on February 21.

Total investment and other income shot up 58% to QR117.40mn while total expenses rose 11% to QR43.95mn, according to its financial statement filed with the Qatar Exchange.

Wakala income jumped almost five-fold to QR50.83mn; net realised gains on sale of available-for-sale investments rose 11% to QR30.87mn; rental income by 31% to QR8.04mn and other income by 71% to QR1.83mn; even as dividend income plunged 12% to QR24.93mn.


The company has reported a QR0.61mn shareholders’ deficit from takaful operations compared with QR33.31mn surplus in the previous year. Total takaful revenues stood at QR44.85mn and expenses at QR45.47mn.

However, for the policyholders, the insurer’s surplus from takaful operations jumped more than three-fold to QR44.02mn. Total takaful revenues were QR105.76mn and expenses were QR61.75mn.

Total assets were valued at QR976.54mn, comprising policyholders’ assets of QR275.65mn and shareholders assets of QR700.89mn.

Total shareholders’ equity stood at QR575.97mn on a capital base of QR142.30mn and earnings-per-share was QR5.12 at the end of December 31, 2010.

Courtesy by: Gulf Times

TOP REGIONAL AWARD FOR TAKAFUL COMPANY

MANAMA: Solidarity General Takaful company has won a top regional award at a ceremony held in Dubai. It was named Bahrain Insurer of the Year and for the second time running was named the best Takaful Insurer of the Year at the MENA Insurance Awards Ceremony.

Solidarity General Takaful is a subsidiary of one of the largest Takaful groups in the world, Solidarity Group Holding.

The MENA Insurance Awards are hosted by MENA Insurance Review magazine, an authoritative and highly-regarded business title that has become a key feature in the region's insurance event calendar.

The awards recognise Solidarity's commitment to its customers, as well as the company's innovation and quality in its product offering, its strong financial positioning in its core insurance business and its success in building a solid platform for further growth.

"We are delighted to have been named Bahrain Insurer of the Year and for the second consecutive year the best Takaful Insurer," said Solidarity chief executive Ashraf Bseisu.

"The awards serve to further reinforce our long-standing commitment and drive to better serve our clients, to whom we owe these awards in the first place," he said.

"The awards are a reflection of the high level of recognition that Solidarity has attained, amongst both its peers and its clients, as both a leading insurer in Bahrain and a leading Takaful insurer in the region," said Mr Bseisu.

"The fact that we have been singled out for these two prestigious industry awards is something we can all be justifiably proud of," he said.

"The awards are all the more significant because it is based in large part on our ability to demonstrate a strong commitment to our customers," said Mr Bseisu.

"This ability is a direct consequence of the devotion, dedication and world-class expertise of every member of the Solidarity team," he said.

Courtesy by: Gulf Daily News