The data must be extracted from a third party platfrom e.g. bloomberg and datastream. Would appreciate if you send us the data before the commencement of the analysis.
Are Islamic equity indices more efficient than their conventional counterparts?
In this assignment you have to analyze whether Islamic equity indices are safer investment haven as compared to the conventional investments in times of crisis.
You are required to:
1. To select one out of four major Shariah-compliant equity index providers (Dow Jones, FTSE, MSCI and S&P).
2. Select at least 10 Islamic and 10 conventional indices for the purpose of comparison.
3. Download monthly data for the chosen indices from 2007-2015. Divide the sample into three periods; 2007-2015 (whole period), 2007-2009 (during crisis) & 2010-2015 (post crisis)
Prepare a report (including appendices if needed). The report should include the following:
1. Calculation and analysis of the descriptive statistics (mean, SD etc.) & different performance measures (beta, jensen alpha, sharpe ratio).
(Maximum 800 Words) (11 marks)
2. Based on your results, critically analyze whether Islamic investments would be safer than conventional.
(Maximum 600 words) (9 marks)
Be sure that the content, format and style of the report conform both to good practice. Feel free to use diagrams and any other tools that might enhance your report.
Harvard style referencing is required for assignments in this module. If you submit a poorly referenced essay you will lose marks. If you submit an unreferenced or plagiarised essay you will fail the assignment.
You are required to submit a softcopy of your written assignment electronically into Turnitin.
Assignment Marking Rubric
Poor Good Excellent
• Just calculation and no analysis
• Some analysis and calculation
• Well structured
• Clear idea.
• All calculations and very detailed analysis
/ 10 marks
• Little explanation
• Not much thoughts
3 -5 marks
• Some explanation and information
• Well structured
• Clear idea
• Very detailed explanation and information
/ 8 marks