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Wealthsimple Shariah World Equity Index ETF provides Canadian investors with access to global Shariah-compliant companies
TORONTO, ON – May 12, 2021– Mackenzie Investments (“Mackenzie”) today announced the listing of Wealthsimple’s first Shariah-compliant exchange traded fund (“ETF”), Wealthsimple Shariah World Equity Index ETF (“the Wealthsimple ETF”), with Mackenzie serving as trustee, manager and portfolio manager.
The Wealthsimple ETF seeks to replicate the performance of the Dow Jones Islamic Market Developed Markets Quality and Low Volatility Index (the “Index”). The Index is comprised of equity securities in developed markets which are Shariah-compliant and are characterized by the index provider, S&P OPCO, LLC, as having the highest combination of quality and low volatility multi-factor scores. The Wealthsimple ETF’s management fee is 0.50 percent of its net asset value (annual rate).
The companies included in the Index do not generally derive their income from the following industries: alcohol, tobacco, pork-related products, weapons and defense, conventional banking, conventional insurance companies and adult entertainment including hotels, casinos, and cinema.
“As the ETF market continues to grow, Shariah-compliant self-directed investment options remain limited and expensive and we saw an opportunity to change that,” said Ben Reeves, Chief Investment Officer, Wealthsimple. “Having investment options that honour and reflect the values of investors across our country is at the heart of our mission.”
Mackenzie and Wealthsimple have retained Ratings Intelligence Partners, a world class Shariah advisory firm, to conduct a comprehensive review and certify the Wealthsimple ETF as Shariah compliant at its launch and to conduct regular bi-annual audits, going forward.
Today’s index ETF launch complements Wealthsimple’s portfolio of ETFs, which includes two socially responsible ETFs that trade on the Toronto Stock Exchange, Wealthsimple North America Socially Responsible Index ETF and Wealthsimple Developed Markets ex North America Socially Responsible Index ETF. Similar to the Shariah-compliant ETF, Wealthsimple’s SRI ETFs let Canadians invest in their beliefs and values while providing access to good investment products at competitive prices.
The initial offering of the Wealthsimple ETF has closed, and it will begin trading today on the NEO Exchange. Wealthsimple Shariah World Equity Index ETF will trade under the ticker symbol WSHR.
For more information about Wealthsimple’s Shariah investing options visit www.wealthsimple.com/halal-investing.