Saturna’s CIO Scott Klimo Contributes an Article to MoneyWeek

Bellingham, WA, June 29, 2022 – Financial website MoneyWeek featured an article written by Scott Klimo, CFA, Saturna Capital’s vice president and chief investment officer, about Islamic-compliant companies. The article is titled “Three Sharia-compliant growth companies,” and was published on the site on June 29, 2022.

“We try to invest according to the tenets of Islam,” wrote Klimo, including “not investing in companies engaged in prohibited activities or products, including gambling, alcohol, pork, and weaponry.” Another element of Islamic investing is to avoid “conventional financial activities, such as banking, due to the prohibition on interest (sometimes called usury).” Klimo then explained how Edwards LifeSciences, Corteva, and Nintendo qualified as Islamic-compliant stocks.

Edwards Lifesciences “demonstrates the importance of investing rather than speculating.” It has relatively low debt, and “aggressively invests in research and development.”

Noting the Russian invasion of Ukraine and climate change both affecting crop yields, Klimo explained how Corteva, “a global player in crop protection and seeds” spends a substantial amount of its revenues on research and development.

Videogame maker Nintendo was noted for its “prudent balance-sheet management, with zero debt and 24% of its market capitalisation held in cash and short-term investments.”

About Saturna Capital Corporation

“Active investing to reflect your values”

Saturna Capital Corporation, established in 1989 in Bellingham, Washington, USA, is a private, employee-owned, investment adviser with US$5.6 billion in assets under management, providing investment advisory services to mutual funds, institutions, businesses, individuals, and endowments. Saturna Capital is adviser to the Amana Mutual Funds Trust, the oldest and largest family of funds in the US that follow principles of Islamic finance. Saturna Capital is also adviser to the US-based Sextant Mutual Funds and Saturna Sustainable Funds.