Abstract

Islamic Finance, which is based on the Shari'ah Law, has seen a growing interest in the last few years. This phenomenon is attributable not only to the demographic trends within Muslin countries but also to the wealth accumulated by HNWI and the growing demand to manage it in compliance with religious rules. In this article we will focus on the Islamic asset management and in particular on asset class equity highlighting the main element of the investment process as well as challenges that the industry is facing to reach a more mature stage of development. We will also consider an indices style analysis to highlight effects of the Islamic principles on the portfolio allocation process.