IslamicFinance.de

JPMorgan will include sukuk in its emerging markets indices starting from October 31. Dollar-denominated sukuk from Turkey, Malaysia and Indonesia will be included in JPMorgan’s flagship EMBI Global Diversified index, against which an estimated $313 billion in assets is benchmarked. The move could help sukuk break away from their traditional buy-and-hold investor base. Pakistan’s $1 billion sukuk maturing in 2019 will be included in the JPMorgan Asia Credit Index alongside sukuk from Indonesia and Malaysia, but Qatar and Bahrain are currently absent. Only two corporate sukuk will be included in the JPMorgan Corporate Emerging Markets Bond Index: a 2023 sukuk from Dubai’s DP World and a 2024 sukuk from Saudi Electricity Co.