Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]

The Islamic banking has emerged as a significant and popular banking system in Malaysia. At present, the Islamic banking is able to offer competitive alternatives to conventional products and services, In Malaysia, murabahah and bai bithaman ajil concepts are widely used in most of the products unde...

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Main Authors: Mohd Jaffar, Maheran, Samson, Abd Aziz, Ismail, Rashidah, Abdul Maad, Hamdan
Format: Research Reports
Language:English
Published: Research Management Institute (RMI) 2011
Subjects:
Online Access:https://ir.uitm.edu.my/id/eprint/23700/
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author Mohd Jaffar, Maheran
Samson, Abd Aziz
Ismail, Rashidah
Abdul Maad, Hamdan
author_facet Mohd Jaffar, Maheran
Samson, Abd Aziz
Ismail, Rashidah
Abdul Maad, Hamdan
author_sort Mohd Jaffar, Maheran
building UiTM Institutional Repository
collection Online Access
description The Islamic banking has emerged as a significant and popular banking system in Malaysia. At present, the Islamic banking is able to offer competitive alternatives to conventional products and services, In Malaysia, murabahah and bai bithaman ajil concepts are widely used in most of the products under Islamic banking. Unfortunately foreign investors especially from Middle East are inclined toward products which are based on musyarakah concept. Musyarakah contract is a joint venture between two or more parties and the profit is shared according to the agreed profit sharing ratio. None of the Islamic banks in Malaysia uses these concepts in more than 10% of their financial portfolio. This research has found that the common variables used in managing Islamic investment products offered by Islamic banks are the same as conventional banks except for the profit sharing rate offered by Islamic banks. The proposed musyarakah model is suitable in packaging Islamic investment products. Beside the proposed model, there are other musyarakah models that may be used in managing the investment between two parties. Nevetheless the proposed model is far better than the other models in internalizing the spirit of fairness and justice for all involved parties.
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spelling uitm-237002019-04-16T08:43:27Z https://ir.uitm.edu.my/id/eprint/23700/ Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.] Mohd Jaffar, Maheran Samson, Abd Aziz Ismail, Rashidah Abdul Maad, Hamdan Analytical methods used in the solution of physical problems The Islamic banking has emerged as a significant and popular banking system in Malaysia. At present, the Islamic banking is able to offer competitive alternatives to conventional products and services, In Malaysia, murabahah and bai bithaman ajil concepts are widely used in most of the products under Islamic banking. Unfortunately foreign investors especially from Middle East are inclined toward products which are based on musyarakah concept. Musyarakah contract is a joint venture between two or more parties and the profit is shared according to the agreed profit sharing ratio. None of the Islamic banks in Malaysia uses these concepts in more than 10% of their financial portfolio. This research has found that the common variables used in managing Islamic investment products offered by Islamic banks are the same as conventional banks except for the profit sharing rate offered by Islamic banks. The proposed musyarakah model is suitable in packaging Islamic investment products. Beside the proposed model, there are other musyarakah models that may be used in managing the investment between two parties. Nevetheless the proposed model is far better than the other models in internalizing the spirit of fairness and justice for all involved parties. Research Management Institute (RMI) 2011 Research Reports NonPeerReviewed text en https://ir.uitm.edu.my/id/eprint/23700/1/LP_MAHERAN%20MOHD%20JAFFAR%20RMI%2011_5.pdf Mohd Jaffar, Maheran and Samson, Abd Aziz and Ismail, Rashidah and Abdul Maad, Hamdan (2011) Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]. (2011) [Research Reports] <http://terminalib.uitm.edu.my/23700.pdf> (Unpublished)
spellingShingle Analytical methods used in the solution of physical problems
Mohd Jaffar, Maheran
Samson, Abd Aziz
Ismail, Rashidah
Abdul Maad, Hamdan
Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]
title Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]
title_full Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]
title_fullStr Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]
title_full_unstemmed Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]
title_short Identifying mathematical models in managing Islamic investment products using Musyarakah concept / Maheran Mohd Jaffar … [et al.]
title_sort identifying mathematical models in managing islamic investment products using musyarakah concept / maheran mohd jaffar … [et al.]
topic Analytical methods used in the solution of physical problems
url https://ir.uitm.edu.my/id/eprint/23700/