IAIS Malaysia

Asset-backed vs asset-based sukuk

Sukuk are Islamic certificates of investment. They signify co-ownership of productive resources, known as the “underlying assets.” Because income to sukukholders is generated by trading or real investment rather than mere lending, sukukholders earn profit rather than interest. As co-owners of productive assets, sukukholders face the risks of ownership. In particular, they face the risk that their assets may not generate profits or that may even incur losses. They also face the risk that the assets may be damaged or destroyed completely........... Download the full article in pdf attachment (below)

Abdul Karim Abdullah

Abdul Karim Abdullah @ Leslie Terebessy is an Assistant Research Fellow at IAIS Malaysia.

Hikmah

The Prophet Muhammad (peace be upon him) said:"Do you know who will go first on the Day of Resurrection to the shade of God?...Those who when given what is right accept it, when asked for something give freely and who judge in favour of others as they do for themselves." Al-Tirmidhi, Hadith 1042

Quotable Quotes

Lord make me an instrument of your peace, Where there is hatred, let me sow love..... - St. Francis of Assisi

Humour Without Malice

A government office issued an urgent document to be distributed among its subsidiaries. To ensure that it would be delivered in time, the messenger was provided with a horse. Running behing the horse, the messenger whipped the horse until it was galloping at full speed. Someone asked him in amazement: "If it's such an urgent mission why don't you ride the horse?" The messenger asnwered: "Running on six legs is certainly quicker than on four, isn't it?"

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