'Terror-Free' Stock Index Has Market Potential, Analysts Say
By Fred Lucas
Wall Street investors concerned their dollars might end up in the hands of terror-sponsoring governments can now rely on a "terror-free index" for guidance.
Such a stock index could spark a growing market as 19 states either have passed or have pending legislation to divest public employee pension funds from companies that do business in countries such as Iran, North Korea, Sudan, Syria and Cuba: the five countries listed by the U.S. State Department as sponsoring terror.
In recent years, Florida, Missouri, Illinois, Louisiana and California led the way in divesting government money from firms working in those terror-sponsor countries. The state legislation varies, with some bills targeting one country such as Iran, while others target all or some of the countries on the State Department's list.
This year, states such as New York, New Jersey, Massachusetts, Georgia, Texas, Maryland and Pennsylvania are considering divestment bills.
The FTSE Group (FTSE), a global index company, and Conflict Securities Advisory Group (CSAG), an investment research firm, introduced the index on March 31.
The index is designed to "screen out companies with active or current non-humanitarian business ties in or with countries that expose them to global security risk."
"FTSE and CSAG identified demand from institutional investors in the U.S. for the option to invest terror-free and have introduced this new index series to meet it," said FTSE American President Jerry Moskowitz and CSAG President Roger Robinson in a joint written statement.
There are 485 publicly traded companies that operate in the five countries designated by the U.S. State Department as state sponsors of terrorism. The companies are overwhelmingly foreign-owned, according to CSAG.
I am sure several of our "allies" should be on that list of STATES THAT SPONSOR TERROR, but I doubt that our dhimmified government will list them...
Saudi Arabia, U.A.E., etc. all come to mind
1) 'Terror-Free' Stock Index Has Market Potential, Analysts