INSEAD Library

Includes bibliographical references and index

Digitized

Islamic Securitization A Revolution in the Banking Industry Table of Contents Acknowledgements Foreword from an Islamic banker Foreword from a Shari'ah scholar Introduction Chapter One: Securitization 1.1 Structure of Securitization 1.2 Credit Enhancement 1.3 New Source of Funding 1.4 Rationale of Securitization Asset Transformation / Balance Sheet Management Capital Constraint Funding / Fee Income Chapter Two: Islamic Securitization 2.1 Asset-backed Financing 2.2 Islamic Securitization 2.2.1 Acceptable Assets 2.2.2 Acceptable Structures 2.2.3 Transfer of Ownership 2.2.4 Credit Enhancement 2.3 Securitization of Musharaka 2.4 Securitization of Ijarah 2.5 Securitization of Murabaha 2.5.1 Securitization in Malaysia 2.6 Challenges Healthy Financial Infrastructure Investor Demand Liquidity Management Chapter Three: Islamic Investment Sukuk 3.1 Types of Sukuk 3.1.1 Ijarah Sukuk 3.1.2 Mudaraba and Musharaka Sukuk 3.1.3 Istisna'a Sukuk 3.1.4 Salam Sukuk III V VII 1 3 5 8 9 11 11 12 12 15 16 18 18 19 21 21 22 25 26 26 27 27 29 29 31 32 32 35 36 38 3.1.5 Islamic Development Sukuk 3.1.6 Hybrid Sukuk 3.1.7 Other Types of Sukuk 3.2 Negotiability of Islamic Securities in a Secondary Market 3.3 Advantages of Sukuk 3.4 Rating of Sukuk Securities Chapter Four: Case Study: Issuance of Sukuk in the Kingdom of Bahrain 4.1 Islamic Banking in Bahrain - An Overview 4.2 Issuance of Islamic Investment Sukuk 4.2.1 Ijarah (Leasing) Sukuk 4.2.2 Salam Sukuk 4.3 Corporate Sukuk 4.4 The Liquidity Management Centre (LMC) 4.4.1 Short Term Sukuk Program (STS) 4.4.2 Recent Developments 4.5 The International Islamic Financial Market (IIFM) 4.6 German State Sukuk Conclusion Appendices (A) Islamic Rating Scale (B) Islamic Banks and Financial Institutions in Bahrain 2005 (C) Domestic Public Debt Instruments (D) Government of the Kingdom of Bahrain Islamic Lease Securities Regulations and Terms of Issue (E) Government Islamic Leasing Securities (Ijarah Sukuk) Terms and Conditions of Issue (F) Non-Negotiable Government Salam Securities Regulations and Terms of Issue No. 24 (G) Durrat Khaleej Al Bahrain Istisna'a ­ Ijarah Sukuk: Summary of the Sukuk Glossary of Terms Reference of Figures and Tables Bibliography Index 38 39 42 42 45 46 49 49 51 52 56 58 62 63 63 64 65 67 69 71 72 73 77 85 89 103 106 107 113