Counters dropped from syariah list feel the heat

PETALING JAYA: Shares in some of the biggest names on Bursa Malaysia, including SP Setia Bhd and Bumi Armada Bhd, may come under some pressure from funds that follow strict syariah investment guidelines after they failed to make the cut into Securities Commission’s (SC) revamped list of syariah-compliant companies.

As of Aug 31, there were 176 Islamic-based equity investment funds with net asset value (NAV) of RM38.2bil or 11.8% of the combined NAV of RM323.8bil syariah-based and conventional-based funds.