Wednesday, February 8, 2017

Islamic finance in Europe (30)

Continuation
The author continues:
Given the important role of derivatives in the:
§  management;
§  and allocation
of risk and in financial innovation, some Islamic economists are making an effort to structure Shari’ah compliant financial contracts that are similar to derivatives.
They argue that some Islamic contracts, like:
o   salam;
o   istisna;
o   and others
contracts have certain features in common with derivatives, for example:
o   futures;
o   or forward contracts.
From the research paper of European Central Bank

(Authors: F.Mauro, P.Caristi, S.Couderc, A.D.Maria, L.Ho, B.K.Grewal, S.Masciantonio, S. Ongena and S.Zaher)

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