Investing with Values: Ethical Investment versus Islamic Investment

Author(s):  
Celia de Anca
Author(s):  
Khaliq Ahmad Mohamad ◽  
Rizal Mohd. Nor ◽  
Aimadhuddin Ahmad Kamely

Crowdfunding is a new form of both investment opportunities and source of raising capital. The aim of this chapter is to explore the understanding of the newly invented crowdfunding, types of the existing platforms of the industry. Authors investigated crowdfunding platforms that are registered in securities commission Malaysia and Kapitalboost platform of Singapore and their mode of investment. Authors also looked in depth and reviewed a current literature on crowdfunding. An investment model of crowdfunding that will be suitable for the Muslim investors who are looking into an ethical investment that will contribute to the wellbeing of the societies as whole through Mudharabah and Musharakah investment. The findings explored that equity crowdfunding could bring more benefit and less harm to entrepreneurs. Consequently, there are two types of models that are based on equity-in and equity-out; hence, the chapter recommends the equity crowdfunding over the debt-based through Islamic investment method of Musharakah and Mudharabah investment.


2019 ◽  
Vol 7 (1) ◽  
pp. 1
Author(s):  
Mohd Nizam Barom

Understanding Socially Responsible Investing and Its Implications for Islamic Investment Industry // // // // // Social, ethical and environmental concerns have been used as important consideration for investment decision by an increasing number of investors. This can be seen by the size and growth of the socially responsible investment (SRI) industry in the developed economies. At the same time, scholars and commentators of Islamic finance have also called for Islamic investment industry to learn from the experience of SRI in incorporating social responsibility issues in the investment process, in line with the ethical principles of Islam and the overall objective of the Shari’ah (Maqasid al-Shari’ah). This would require Islamic investment sector to have a clear understanding of the SRI industry in order to effectively benefit from its experience. This is particularly critical due to the significant diversity of investors and complexity in the issues and strategies adopted in the SRI industry. Hence, this paper adds to the Islamic investment literature by providing an extensive  and systematic survey of SRI industry in terms of its (i) underlying motivations and values; (ii) issues of concerns; (iii) types of investors; and (iv) screening strategies. It then synthesizes these components within the context of the ‘value-based’ investors. This synthesized framework offers a useful tool for Islamic investment practitioners to understand the theoretical and practical aspects of SRI. Subsequently, the paper highlights important implications of the findings for Islamic investment industry in terms of the issues that it needs to consider in emulating SRI practices and a number of lessons that it can learn from the SRI experience.  


2020 ◽  
Vol 5 (1) ◽  
pp. 30
Author(s):  
Desi Isnaini ◽  
Cipta Isratul Muslih

The purpose of this study is (1) to find out how students understand of Islamic Economics majors about Islamic stock investments before the establishment of the IDX Islamic Investment Gallery IAIN Bengkulu at the Faculty of Islamic Economics and Business. (2) to find out how students understand of Islamic Economics in the Islamic about stock investment department after the establishment of the Indonesia Stock Exchange Islamic Investment Gallery IAIN Bengkulu at the Faculty of Islamic data in the form is observation, interviews, and documentation. The results of this study is : (1) before enstabilistment GIS many students knows Islamic stocks is still limited to theory because there is no place of practice and educational tools to better understand about Islamic stock investment. (2) after the formation of GIS, students' understanding of sharia shares has increased compared to before the enstabilistment of GIS. Students have used existing support facilities.


2021 ◽  
Vol 10 (2) ◽  
pp. 247-258
Author(s):  
Salman Ahmed Shaikh

In order to enhance understanding about the actual savings behaviour and impulses which drive savings behaviour, it is interesting to study the micro foundations of savings behaviour. Collecting micro data through filled questionnaire from households in urban areas, this study identifies the motives of savings and the instruments and channels where the savings are invested in Pakistan. The results reveal that investment motive, higher income and greater frequency of household members joining labor force for earning incomes enhance the monthly savings rate. The results can be used to offer Islamic investment deposits in an attractive way. If the investment deposits are pitched properly by highlighting the stable ex-post investment returns and low ex-post volatility, then people with an investment motive parking their savings in fixed income mutual funds would be attracted towards Islamic investment deposits. Likewise, incremental long term savings plans wherein periodic investments increase over a period of time can be offered given that monthly savings rate are found to be positively associated with income. Finally, joint investment accounts can be offered given the finding that monthly savings rate is higher in households with greater number of earning members in family.JEL Classification: G11, G21, G23How to Cite:Shaikh, S. A. (2021). Incorporating Private Savings Behavior in Product Offerings: A Case Study of Pakistan. Signifikan: Jurnal Ilmu Ekonomi, 10(2), 247-258. https://doi.org/10.15408/sjie.v10i2.20139.


2014 ◽  
Vol 2 (1) ◽  
pp. 61
Author(s):  
Ika Indriasari

Sukuk is a form of Islamic investment instrument that is developing in Indonesia and various countries in the world. The superiority of Sukuk as a form of relatively safe investment makes sukuk accepted as an investment tool as well as funding for countries with a majority of Muslim and non-Muslim populations. The Indonesian government began to establish rules regarding sukuk since 2008 and continues to develop and innovate in sukuk transactions. Greetings and interest in investing in Indonesian sukuk are very good, both in the domestic and global markets. This can be seen from the oversubscription that occurs in Indonesian sukuk. Great interest in sukuk, especially in Indonesia shows that sukuk can provide good alternatives for investors and the country for funding needs in Indonesia's development.


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