PORTFOLIO POWERPLAY: BUILDING WEALTH THROUGH SECURITIES

1. Islamic terms for bonds are

• Ijarah

• Al - Dayn

• Sukuk

• Kafalah

2. What is the advantages of investing in Exchange-Trade Bonds and Sukuks (ETBS)

• a. Liquidity risk

• b. Interest rate risk

• c. Lower transaction cost

• d. Currency risk

3.An exchange-traded fund (ETF) is a type of pooled investment security.

• True

• False

4.What is a characteristic of closed-end funds?

• a) They have a fixed number of shares

• b) They are managed by individual investors

• c) They are redeemable on demand

• d) They are traded on the open market

5.Company warrants are issued by the company and the holders will have the right and obligation, to subscribe for new ordinary shares at a specified price during a specified period of time.

• True

• False

6.Which of the following is not a type of closed-end fund?

• A) Equity Closed-End Fund

• B) Bond Closed-End Fund

• C) Real Estate Closed-End Fund

• D) Open-End Fund

9. 7. ETFs can be traded multiple times a day.

• True

• False

8.What is the similarities between sukuk and bonds ?

• A. Bonds and sukuk is a sharia compliant.

• B. Both provide investors with payment streams.

• C. Sukuk and bonds price largely determined by its credit rating.

• D.Both involves in debt obligations

9.The owners of registered shares

• A. are known to the company

• B. have special rights and privileges

• C. have no voting right

• D. can transfer their shares by mere delivery

10.Sukuk represent the debt of the issuer

• True

• False