Shariah investing gains relevance as AI reshapes investment landscape
Shariah investing has moved from niche to mainstream as digital technologies and AI reshape investment decisions, Bursa Malaysia Bhd chief executive officer Datuk Fad'l Mohamed told the Invest Shariah Conference 2026 on…
Source: theedgemalaysia.com · August 4, 2026 at 3:48 AM · AI-assisted report
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MALAYSIA, 4 AUGUST 2026 —
Shariah investing has moved from niche to mainstream as digital technologies and AI reshape investment decisions, Bursa Malaysia Bhd chief executive officer Datuk Fad'l Mohamed told the Invest Shariah Conference 2026 on Tuesday.
Market Impact
Fad'l said Malaysia’s Islamic capital market reached RM2.75 trillion in 2025, or nearly two-thirds of the country’s RM4.2 trillion capital market, according to his remarks at the event co-hosted by Bursa Malaysia and CGS International Securities Malaysia Sdn Bhd.
About 81% of Malaysia’s listed companies were shariah-compliant in 2025, while trading of shariah-compliant securities accounted for 69% of Bursa Malaysia’s average daily trading value during the year, he said.
Fad'l said the principles of shariah investing—fairness, real economic activity, transparency, prudent risk-taking and responsible stewardship—align with investor demand for resilience and sustainability amid volatility.
Malaysia also leads the world in environmental, social and governance (ESG) sukuk, holding a 31.6% share of global outstanding ESG sukuk as at June 30, 2026, according to the Securities Commission Malaysia’s latest data.
CGS International Securities Malaysia chief executive officer Khairi Shahrin Arief Baki said geopolitical tensions, inflation and shifting monetary policy are reshaping asset-class outlooks.
Khairi said ethical principles reinforce financial analysis by keeping transparency, accountability and long-term value creation in focus.
“Technology speeds up information access and transaction convenience,” he said, “but the critical question is whether it improves the quality of investment decisions.”
Fad'l said Malaysia’s scale—RM2.75 trillion in shariah-compliant assets and a 31.6% global ESG sukuk share—gives it a platform to advance shariah investing as a force for innovation and sustainability.
Related: Malaysia