Islamic Finance

Keon Daud Vicary Abdullah Chee

Description

Islamic finance has been growing faster than conventional finance for most of the past decade. It has done this on a model of finance that rejects interest and promotes profit sharing. How is this possible? Yet the wealth potential of Islamic finance is far from being its most attractive feature. What is most compelling about Islamic finance are its ethical principles and strong corporate governance based on Shariah law.

Sujets

• Islam
• Finance
• Personal finance
• Economie gestion

Informations

• Publié par: Marshall Cavendish International
• Date de parution: 15 novembre 2013
• Nombre de lectures: 1
• EAN13: 9789814516822
• Langue: English

Extrait

REVIEWS OF THE SECOND EDITION
The number of books on Islamic finance for an expert readership has grown at least as rapidly as the Islamic finance industry itself. But there are only very few books that explain the salient features of this alternative model to actual or future consumers of Islamic finance products-Muslims as well as non-Muslims.
Daud Vicary Abdullah and Keon Chee have taken the lead in this field. They create an understanding for the conceptual background as well as the peculiarities and the specific appeal of Islamic finance products to consumers in banking, capital markets and insurance. The authors clarify the benefits of financial instruments that are linked to activities in the real world (such as production, construction or trade).
Islamic finance has a religious background, but it is accessible to everybody. People all over the world who are looking for an alternative to the crisis-ridden conventional finance can gain a lot from this book.
Prof. Dr. Volker Nienhaus, International Centre for Education in Islamic Finance (INCEIF)
This is a nicely done book. Sensitively written and professionally competent, it demystifies Islamic finance. Its emphasis on simplifying how Islamic finance works makes the book highly readable for those seeking an easy-to-grasp introduction to the subject. The authors have done an admirable job of accomplishing their objective of sharing the fruits of their ardent search and communicating effectively the results of their enjoyable journey with others who are starting their own exploration of what Islamic finance is all about. Their efforts in clearly explicating and presenting the value propositions of Islamic finance have made the book a noteworthy contribution to the field.
Prof. Dr. Abbas Mirakhor, International Centre for Education in Islamic Finance (INCEIF)
Daud Vicary Abdullah and Keon Chee are to be congratulated on such a well-written and easy-to-understand second edition on Islamic finance. The financial concepts are well-explained in language that any layman can grasp. The examples of the different financial products in use make for easy reading as they are given in the form of elegant vignettes. The beauty of the book is the authors ability to make explicit the link between Islamic financial products as products and their underlying religious foundations in the Quran and Hadith-without being preachy. This book is a must-read introduction to Islamic finance.
John Zinkin, Chief Executive of Securities Industry Development Corporation, and Managing Director of Zinkin Ettinger Sdn Bhd
REVIEWS OF THE FIRST EDITION
I must admit that your book is the best written that I have encountered. It is comprehensive and informative, describing both conventional and Islamic systems and explaining Islamic finance contracts from underlying philosophy to practical application.... This is a book that I d like to go back to over and over again to stay mindful of the spirit and potential of Islamic finance.
Ryosuke Shimazu (then full-time CIFP student at INCEIF, September 2010)
The book is very well set out, with clear explanations and vivid use of graphical communication.... Readers who have no prior knowledge of Islamic finance will gain a solid basic understanding of why Islamic finance offers the potential of ethical banking and trading for all of society, not just for Muslims.
Christopher J. Napier (review in www.amazon.co.uk , March 2010)
I got an internship at one of the largest Islamic organisations worldwide and I needed to learn more about Islamic finance in terms of origin, progress, modes, scale and reach, and overall mission and vision. The book is, somewhat, objective, talking about the doubts and on-going struggles while praising the exponential progress I.F. has shown. It is an easy read with easy to comprehend examples; some chapters were too basic and repetitive but I needed the reassertion of some of the concepts at times.
A must read for financiers, bankers, entrepreneurs, policy makers, students, scholars, and NGO enthusiasts and for-profit socially conscious business people who want to look beyond conventional finance and, probably, might actually adopt and like Islamic finance type of thinking.
Firas Maad (review in www.amazon.com , June 2013)

2014 Marshall Cavendish International (Asia) Pte Ltd
Cover art by OpalWorks Co. Ltd
Image on pages 283 and 290 courtesy of Haji Noor Deen
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National Library Board Singapore Cataloguing in Publication Data
Vicary Abdullah, Daud, 1951-
Islamic finance : why it makes sense (for you) / Daud Vicary Abdullah and Keon Chee. - Singapore : Marshall Cavendish Business, 2013
pages cm
eISBN : 978 981 4516 82 2
1. Finance - Religious aspects - Islam. 2. Finance - Islamic countries. I. Title. II. Chee, Keon.
HG187.4
332.088297 -- dc23 OCN854893259
Printed in Singapore by Star Standard Industries Pte Ltd
To my wife, Sabariah, and our four sons, Raslan, Rastam, Adam and Azrai, for their support and patience in allowing me to follow a dream. - Daud
To Amir Mikhchi (Iran), Ali Asadi (Iran) and Mohammad Nor (Pakistan) who showed me the gentleness of Islam. - Keon
FOREWORD
PREFACE
ACKNOWLEDGEMENTS
1 Why Islamic Finance?
2 Understanding Islam and Muslims
3 Basic Islamic Finance Principles
4 An Overview of Islamic Finance Contracts
5 Building an Islamic Finance Framework
6 How Financial Markets Work
7 Saving and Spending
8 Financing (Based on Debt)
9 Financing (Based on Leasing)
10 Other Islamic Financing Methods
11 Insurance
12 Investing
13 Trade Financing
14 Microfinance
15 The Ethical Company
16 Planning for the Hereafter
17 Prospects: Ordinary or Extraordinary?
GLOSSARY OF TERMS
INDEX
SELECTED REFERENCES
ABOUT THE AUTHORS
FOREWORD
BY M USTAPHA H AMAT
Distinguished Academic Fellow of IIUM Institute of Islamic Banking and Finance (IIiBF), International Islamic University, Malaysia (IIUM); member of INCEIF Governing Council, former General Manager of Bank Islam Malaysia Berhad and CEO of IBFIM
I AM VERY PLEASED to be writing this foreword for Daud Vicary Abdullah and Keon Chee.
When they first told me that they wanted to write a book on Islamic finance that would appeal to non-Muslims as well as Muslims, I felt immediately encouraged. I had been involved in Islamic finance for over two decades and it is a subject that is very close to my heart. In fact, I was involved with Islamic finance right from the very start when the first Islamic commercial bank, Bank Islam Malaysia Berhad, was set up here in Malaysia. It is my ongoing aspiration and commitment to help spread the message that Islamic finance is for everyone and that it is founded on sound business, social and ethical principles that apply to both Muslims and non-Muslims. They sought my help for guidance and I gladly said yes.
Daud s knowledge and experiences in banking and finance gave me great confidence that the book will be able to give a good and comprehensive exposure on Islamic finance to the ordinary public, particularly to non-Muslims. Daud was a senior banker with one of the big UK-based banks, CEO of a newly established full-fledged Islamic bank in Kuala Lumpur, a senior consultant with the wellknown consulting and audit firm Deloitte Consulting, and today President and CEO of the International Centre for Education in Islamic Finance (INCEIF). Daud has acquired a substantial amount of knowledge and experiences in banking and finance, conventional as well as Islamic.
I met Daud for the first time in June 2002 when he was a Partner at Deloitte responsible for the Financial Services Industry in Korea. When I was the CEO of Islamic Banking and Finance Institute (IBFIM), I sought Deloitte s assistance in one of IBFIM s assignments to introduce Islamic finance products to an investment bank in Kuala Lumpur, and Daud was assigned by the firm to work with IBFIM on this project. Daud came with such fire in his eyes that made me very confident the project was going to be successfully completed.
One thing I do take credit for is that I must have inspired him to learn about Islamic finance. Because from there on, he started to study at IBFIM, attended many other courses in Islamic finance, obtained several Islamic finance credentials and soon after was appointed as a board member of AAOIFI, the global accounting standards sett