FINANCIAL ECONOMICS SHARIAH ARBITRAGE GROUP 5

Same item sale resale in Islamic term is?

• Bay Inah

• Tawarruq

• Muhallil

• Hiyal

Murabaha is a type of Islamic financing that involves the sharing of profits and losses between the bank and the borrower.

• True

• False

What is sukuk?

• A type of Islamic charity that involves giving to the poor and needy

• A type of Islamic financing that involves the sale of goods at a markup

• A type of Islamic banking that involves profit and loss sharing

• A type of Islamic bond that represents ownership in an underlying asset

Sukuk and bond conventional, both provide investors with payment streams

• True

• False

Which of the following is an example of Shariah arbitrage?

• Buying shares in a company that is compliant with Islamic law

• Selling shares in a company that is non-compliant with Islamic law

• Buying a Shariah-compliant bond at a discount and selling it at a premium

• Investing in a high-risk venture that is compliant with Islamic law

Shariah arbitrage is a risk-free investment strategy that guarantees high returns

• True

• False

Financial institutions are less likely to develop new and innovative financial products when there is an increased demand for Sharia-compliant financial products

• True

• False

What is one of the benefits of Sharia arbitrage in contributing to the growth of Sharia financial markets?

• It can lead to a decrease in demand for Sharia-compliant financial products

• It can discourage financial institutions from developing new and innovative products

• It can expand investment opportunities for Muslims who want to participate in financial markets aligned with their beliefs

• It can limit the number of financial products available for Muslims who want to invest

In takaful insurance, the concept of mutual cooperation plays a central role. Participants come together and pool their resources to provide financial protection and support to one another. They contribute to a common takaful fund based on the principles of solidarity and shared responsibility. This fund is utilized to compensate any participant who suffers a loss or damage

• True

• False

What are the key principles of takaful insurance?

1. Mutual Cooperation

II.Certainty (Gharar)

Ill. Shariah Compliance

IV. Speculation (Maysir)

V.Risk Sharing

• I.II.IlI

• I,III,IV

• II,IV,V

• I.III.V