Islamic capital market: sukuk
Sukuk are certificates of equal value that represent ownership in tangible assets, usufruct and services, and equity of identified project (AAOIFI, FAS 17 (2010)). They present undivided pro rata ownership of underlying assets (Securities Commission Malaysia, 2011). While sukuk are generally taken to be the counterpart of bonds, they differ from conventional bonds in six basic aspects (Ariff et al., 2012). This chapter explains the sukuk structure and its changing forms. Then, the chapter turns to the discussion of sukuk, capital structure and value of the firm. Before providing a conclusion. issues and challenges faced by the sukuk market are deliberated.
Sukuk structure , Capital structure , Value of the firm , Issues , Challenges
Mahomed, Z. (2017). Islamic capital market: sukuk. In Baharom Abdul Hamid, Mansor H. Ibrahim & Sazalina Kamarudin (Eds.), Islamic finance: the new normal (pp. 249-268). Kuala Lumpur, Malaysia: RAM Holdings Berhad.
RAM Holdings Berhad