Performance of Global Islamic Indices

Abstract

This study examines the performance of global Islamic indices between Islamic and conventional indices during the period of 1st January 1999 to 31st October 2011. There are 12 global Islamic and conventional indices selected, which cover eight countries such as United States, United Kingdom, Malaysia, Indonesia, Hong Kong, Switzerland, Indian, and France. The Risk Adjusted Performance measurement is employed to estimate both the Islamic and Conventional Indices. The correlation coefficient and t-test are used to test the relationship and mean returns between both the Islamic and Conventional Indices. The results show that the Islamic Indices are better and outperform the Conventional Indices.