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(January 30, 2008) Islamic investing is hot right now, so it’s no surprise that another related index series has popped up. This time FTSE has teamed up with Yassar Research to launch the FTSE Shariah Global Equity Index Series.

The new index uses asset-based debt screening, which is a more conservative approach to Shariah compliance. FTSE says that “this ensures that companies do not pass the screening criteria due to marketplace fluctuation, allowing the methodology to be less speculative and more in keeping with Shariah principles.”

Majid Dawood, CEO of Yassar Research, says investors want more choice as Islamic investing grows. “The FTSE Shariah index series serve those growing demands in a transparent, timely and Shariah-compliant manner, enabling the creation of products based on these indices, which will give greater beneficial choice and thereby engender the Islamic finance industry generally.”

Large- and mid-cap stocks from the FTSE Global Equity Index Series make up the new index.

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Try annually indexing RRSP contributions: Laurentian

(January 30, 2008) If you’re wondering how to build up your RRSP, Laurentian Bank has an answer. The company suggests annually indexing contributions.

The bank explains that investors need to take inflation into account and that “all good retirement planning should provide for increasing contributions based on the rising cost of living.”

By taking this approach, investors can start a savings program with small contributions and increase them gradually with rising inflation and increasing income. Laurentian says this method encourages younger people to make contributions earlier and in more modest amounts.

A person who wants to make $500,000 by the time he or she reaches 65 can do it by investing $251.06 per month for 40 years starting at age 25, or he or she can invest $166.85 a month the first year, $171.85 a month the second year, increasing the monthly contribution by 3% every year.

“Indexing their contribution enables investors to save over the early years of their RRSP investment without compromising the ability to increase their contributions in subsequent years based on a larger income,” says the bank.

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CIBC and AGF co-launch new PPN

(January 30, 2008) Clients not getting enough exposure to emerging markets? Well, AGF and CIBC are offering new principal-protected notes that might satisfy your foreign-fund-loving investor.

The companies announced Wednesday that they are launching the CIBC AGF China and Emerging Markets Enhanced Protection Deposit Notes, Series 1.

The notes will give investors exposure to long-term growth potential in China, Asia, Eastern Europe and Central and South America, combined with 100% principal protection if held to maturity.

This PPN also has a “lock-in” feature, which lets investors lock in a portion of the returns on the funds as the value of the portfolio exceeds certain thresholds.

“Principal-protected deposit notes are proving to be a real hit with Canadian investors looking for growth and security,” say AGF’s president, Randy Ambrosie. “This series combines principal protection with the growth potential of our award-winning AGF Emerging Markets Fund and our fast-growing AGF China Focus Class.”

The seven-year notes can be purchased until March 28, 2008, and will mature April 2, 2015.

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National Bank adds Real Assets

(January 30, 2008) National Bank added a new asset class to its private investment management service on Wednesday. The bank will offer Real Assets to its high-net-worth clients.

This asset class will be primarily made up of companies that specialize in infrastructure projects.

“In today’s dynamic climate, we believe it is important to keep our products up-to-date in order to meet the needs of our clients and provide them with access to investment vehicles that are usually only available to institutional clients,” says Eric Laflamme, president and CEO of National Bank Trust. “Diversifying securities and management styles ensures a better risk–return balance over the long term.”

(01/30/08)