The Dubai government and Shariah Capital have launched an Islamic commodities hedge fund index, calling it the first of its kind.

The Dubai Shariah Hedge Fund Index includes as constituents four funds, part of the DSAM Kauthar Commodity Fund. The four funds each received US$50 million from the Dubai Multi Commodities Centre Authority—the government agency working with Shariah Capital to create the index—and are constituents of the Al Safi Trust, the shariah-compliant hedge fund platform established last year by Barclays and Shariah Capital.

The four funds will invest in gold, energy, natural resources and mining, the DMCC and Shariah Capital said.