Skip to main content

Main menu

  • Home
  • Current Issue
  • Past Issues
  • Videos
  • Submit an article
  • More
    • About JSF
    • Editorial Board
    • Published Ahead of Print (PAP)
  • IPR Logo
  • About Us
  • Journals
  • Publish
  • Advertise
  • Videos
  • Webinars
  • More
    • Awards
    • Article Licensing
    • Academic Use
  • Follow IIJ on LinkedIn
  • Follow IIJ on Twitter

User menu

  • Sample our Content
  • Request a demo
  • Log in

Search

  • ADVANCED SEARCH: Discover more content by journal, author or time frame
The Journal of Structured Finance
  • IPR Logo
  • About Us
  • Journals
  • Publish
  • Advertise
  • Videos
  • Webinars
  • More
    • Awards
    • Article Licensing
    • Academic Use
  • Sample our Content
  • Request a demo
  • Log in
The Journal of Structured Finance

The Journal of Structured Finance

ADVANCED SEARCH: Discover more content by journal, author or time frame

  • Home
  • Current Issue
  • Past Issues
  • Videos
  • Submit an article
  • More
    • About JSF
    • Editorial Board
    • Published Ahead of Print (PAP)
  • Follow IIJ on LinkedIn
  • Follow IIJ on Twitter

Do Sukuk (Islamic Bonds) Have a Role in Today’s Global Capital Markets?

Tahmoures A. Afshar and Majed R. Muhtaseb
The Journal of Structured Finance Summer 2014, 20 (2) 74-80; DOI: https://doi.org/10.3905/jsf.2014.20.2.074
Tahmoures A. Afshar
is a professor at the School of Business at Woodbury University in Burbank, CA.
  • Find this author on Google Scholar
  • Find this author on PubMed
  • Search for this author on this site
  • For correspondence: tahmoures.afshar@woodbury.edu
Majed R. Muhtaseb
is a professor at California State Polytechnic University in Pomona, CA.
  • Find this author on Google Scholar
  • Find this author on PubMed
  • Search for this author on this site
  • For correspondence: mmuhtaseb@csupomona.edu
  • Article
  • Info & Metrics
  • PDF (Subscribers Only)
Loading

Click to login and read the full article.

Don’t have access? Click here to request a demo 
Alternatively, Call a member of the team to discuss membership options
US and Overseas: +1 646-931-9045
UK: 0207 139 1600

Abstract

Both conventional bonds and sukuk attempt to mobilize funds from entities with surplus funds to those with shortages, in line with the objectives of a financial system. But there are structural and risk–return differences between the two. In conventional bonds, the contract is based on the sale of debt. With sukuk, the performance of the contract is closely linked to an asset or a project in which the rewards and risks are shared. The two financing alternatives are clearly different. Conventional bonds are based on debt instruments (IOUs), whereas sukuk financing is based on equity-like arrangements. Conventional bond issuers can mitigate financial risk by issuing sukuk that do not introduce the possibility of bankruptcy in case of financial difficulty or default. Sukuk investors can benefit from a collateralized, maturity-specific, limited-risk, equity-like claim. Sukuk issues are available to governments, financial institutions, and investors regardless of their religious background, beliefs, and faiths. The use of sukuk along with conventional bonds offers additional opportunity for bond issuers of all kinds around the world.

TOPICS: Fixed income and structured finance, legal/regulatory/public policy, ESG investing, emerging

  • © 2014 Pageant Media Ltd
View Full Text

Don’t have access? Click here to request a demo

Alternatively, Call a member of the team to discuss membership options

US and Overseas: +1 646-931-9045

UK: 0207 139 1600

Log in using your username and password

Forgot your user name or password?
PreviousNext
Back to top

Explore our content to discover more relevant research

  • By topic
  • Across journals
  • From the experts
  • Monthly highlights
  • Special collections

In this issue

The Journal of Structured Finance: 20 (2)
The Journal of Structured Finance
Vol. 20, Issue 2
Summer 2014
  • Table of Contents
  • Index by author
Print
Download PDF
Article Alerts
Sign In to Email Alerts with your Email Address
Email Article

Thank you for your interest in spreading the word on The Journal of Structured Finance.

NOTE: We only request your email address so that the person you are recommending the page to knows that you wanted them to see it, and that it is not junk mail. We do not capture any email address.

Enter multiple addresses on separate lines or separate them with commas.
Do Sukuk (Islamic Bonds) Have a Role in Today’s Global Capital Markets?
(Your Name) has sent you a message from The Journal of Structured Finance
(Your Name) thought you would like to see the The Journal of Structured Finance web site.
CAPTCHA
This question is for testing whether or not you are a human visitor and to prevent automated spam submissions.
Citation Tools
Do Sukuk (Islamic Bonds) Have a Role in Today’s Global Capital Markets?
Tahmoures A. Afshar, Majed R. Muhtaseb
The Journal of Structured Finance Jul 2014, 20 (2) 74-80; DOI: 10.3905/jsf.2014.20.2.074

Citation Manager Formats

  • BibTeX
  • Bookends
  • EasyBib
  • EndNote (tagged)
  • EndNote 8 (xml)
  • Medlars
  • Mendeley
  • Papers
  • RefWorks Tagged
  • Ref Manager
  • RIS
  • Zotero
Save To My Folders
Share
Do Sukuk (Islamic Bonds) Have a Role in Today’s Global Capital Markets?
Tahmoures A. Afshar, Majed R. Muhtaseb
The Journal of Structured Finance Jul 2014, 20 (2) 74-80; DOI: 10.3905/jsf.2014.20.2.074
del.icio.us logo Digg logo Reddit logo Twitter logo Facebook logo Google logo LinkedIn logo Mendeley logo
Tweet Widget Facebook Like LinkedIn logo

Jump to section

  • Article
    • Abstract
    • SALIENT FEATURES OF ISLAMIC FINANCE
    • WHAT ARE SUKUK?
    • THE AAIOFI AND SUKUK
    • SUKUK VERSUS BONDS
    • RISK EXPOSURES
    • DISCUSSION AND CONCLUSION
    • REFERENCES
  • Info & Metrics
  • PDF (Subscribers Only)
  • PDF (Subscribers Only)

Similar Articles

Cited By...

  • No citing articles found.
  • Google Scholar
LONDON
One London Wall, London, EC2Y 5EA
United Kingdom
+44 207 139 1600
 
NEW YORK
41 Madison Avenue, New York, NY 10010
USA
+1 646 931 9045
pm-research@pageantmedia.com
 

Stay Connected

  • Follow IIJ on LinkedIn
  • Follow IIJ on Twitter

MORE FROM PMR

  • Home
  • Awards
  • Investment Guides
  • Videos
  • About PMR

INFORMATION FOR

  • Academics
  • Agents
  • Authors
  • Content Usage Terms

GET INVOLVED

  • Advertise
  • Publish
  • Article Licensing
  • Contact Us
  • Subscribe Now
  • Log In
  • Update your profile
  • Give us your feedback

© 2022 Pageant Media Ltd | All Rights Reserved | ISSN: 1551-9783 | E-ISSN: 2374-1325

  • Site Map
  • Terms & Conditions
  • Cookies
  • Privacy Policy