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WorksheetsSukuk
Total questions: 60
Worksheet time: 46mins
Sukuk represent the debt of the issuer
True
False
" Act as issuer of sukuk as well as trustee"
The statement above refers to:
Originator
Special purpose vehicle company
Investors
Which of the following is partnership - based sukuk?
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
Sukuk Wakalah
The period of the rental payment reflects the maturity of the sukuk.
Identify the sukuk type above.
Sukuk Murabahah
Sukuk Istithmar
Sukuk Ijarah
Sukuk Murabahah
Sukuk Musyarakah
The underlying asset is portfolio of financial asset.
Sukuk Ijarah
Sukuk Murabahah
Sukuk Istithmar
Sukuk Mudharabah
Sukuk Musyarakah
SPV uses the money from sukuk issuance to be contributed in the partnership agreement with the originator.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
The proceeds from the sukuk issuance will be used by the SPV to purchase the identified commodity from the supplier.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
Return to investors derived from the income generated by the sukuk asset, in which the income will be shared between SPV and originator based on pre agreed ratio.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
The relationship between SPV and originator is principal and agent.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
Originator will get the financing needed when SPV sell the asset to originator at mark up price, on deferred payment basis.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
Losses generated by the sukuk asset will be shared between SPV and originator based on the capital contribution ratio.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
At maturity, originator will buy back the portfolio of financial assets using the money from the reserve account, if any.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
Originator will lease back the asset throughout the sukuk tenor.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
At maturity, SPV will sell the investors’ shares in the sukuk asset to the Originator.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
The underlying asset for the sukuk is debt of the originator towards investors.
Sukuk Ijarah
Sukuk Musyarakah
Sukuk Mudharabah
Sukuk Murabahah
Sukuk Istithmar
Contractual agreement for manufacturing goods and comodities.
Sukuk Mudharabah
Sukuk Musyarakah
Sukuk Istisna'
An arrangement whereby one party entrusts another party to act on its behalf.
Sukuk Salam
Sukuk Wakalah
Sukuk BBA
Sukuk Musyarakah means______________________
Purchase of assets
Manufacturing goods and commodities
Partnership
Equity market also known as ______________________
Stock Market
Sukuk Market
Bond Market
Represent the basic voting shares of a corporation, this statement refers to _________________________
Preferences shares
Ordinary shares
Warrant
BB Bhd. is looking for financial support to build a factory. Which of the following sukuk concepts is most suitable for this scenario?
Mudharabah
Wakalah
Ijarah
Istisna’
Sukuk holders would receive periodic cash flows based on a profit sharing ratio (PSR) for the sukuk structured based on the contract of __________.
ijarah
musharakah
istisna
wakalah
_____________ represents a binding promise by issuer of sukuk to repurchase the assets at the face value at which the sukuk were initially purchased by sukuk holders.
Purchase Undertaking
Asset Sale Agreement
Lease Agreement
Trust Certificate
Coupon payment of sukuk refers to the __________
scheduled profit distribution to sukuk holders.
penalty imposed on the sukuk issuer for its failure in paying the face value of the sukuk on its maturity.
face value paid to sukuk holders on maturity of the sukuk.
fees charged by Securities Commission for approving the sukuk.
Retail Sukuk can be briefly explain as:
sukuk sell to giant investment companies
Sukuk issue by Government Link Companies (GLC)
Public can participate by buying the sukuk
Available for high net worth individual only
Briefly explain two (2) main factors contributing to sukuk default.
These are the issuers of bond in Malaysia, except _____
Corporations
Government
BNM
Small-medium Enterprises
Individuals can issue bond
True
False
A callable bond is preferable by investors compared with a non-callable bond.
True
False
A bond that has a sinking fund feature is a lower risk bond compared with a bond without sinking fund.
True
False
What is the relationship between bond price and market interest rate?
Positive relationship
Negative relationship
All bonds issue in Malaysia are required to be rated by Credit Rating Agency
True
False
Market risk is embedded in the credit rating of a bond.
True
False
Sukuk has a bigger market than conventional bond in Malaysia
True
False
Sukuk has the characteristics of _____
Straight bond
Convertible bond
Asset-backed security
Bond with warrant
Bank Negara Bills (BNB) and Bank Negara Notes are issued by Central Bank.
Cagamas Berhad is the National Mortgage Corporation whose business is to promote the secondary mortgage market in Malaysia.
The statement above is TRUE or False.
TRUE
FALSE
In the secondary market, bond and sukuk sales proceeds go to the seller while the primary market, they are channelled directly to the issuer.
TRUE or FALSE?
TRUE
FALSE
Which of the following statement is TRUE about the rating and pricing of bonds?
corporate bonds has low risk compared to government bonds.
Bonds are typically backed by the ability of the investor to pay.
RAM and MARC are bond credit rating agencies.
All of the answers are correct.
SC launched the _____________________ a non profit information platform that provides free access to information on bonds sukuk.
LOLA
BIX
MARC
Non of the above
______________ are securities backed by assets such as mortgages, loans, receivables.
Index backed Securities
Private debt Securities
Asset-backed Securities
Asset-based Securities
What is a key difference between Islamic bonds (Sukuk) and conventional bonds?
Sukuk pay fixed interest to bondholders.
Conventional bonds are backed by physical assets, while Sukuk are backed by future cash flows.
Sukuk represent ownership in an asset or project.
Conventional bonds have a shorter maturity period.
Cash and debt (interest based) should not exceed 33% of company total asset in screening process
True
False
Two tier quantitative approach in screening process involves 5% and 15% benchmark
True
False
In cleansing strategy, we should sell the stock immediately if the current value (RM0.80) less than investment cost (RM1.00)
True
False
A contract whereby a lessor (owner) leases out an asset to a lessee at an agreed lease rental for a predetermined lease period. The ownership of the leased asset shall always remain with the lessor.
What type of Islamic capital match above?
Istisna
Ijarah
Salam
Mudharabah
Wakalah
Which of the followings include Sale & Purchase in their principles?
i. Salam
ii. Mudharabah
iii. Ijarah
iv. Murabahah
i and ii
ii and iii
i and iii
i and iv
Shariah screening methodology was formulated by the __________ of Malaysia to assist investors in identifying Shariah-compliant securities.
Shariah Advisory Council (SAC) of Bank Negara Malaysia (BNM)
Shariah Advisory Council (SAC) of Securities Commission (SC)
Shariah Supervisory Board (SSB) of Bank Negara Malaysia (BNM)
Shariah Supervisory Board (SSB) of Securities Commission (SC)
What is the permissible % benchmark that was determined by the Shariah Advisory Council (SAC) of the Securities Commission for the criteria on rental from non-permissible activities?
5%
15%
20%
10%
securitization brings in liquidity to the originator
True
false
SPV is otherwise called as
(a)
Credit card receivables can be securitized by a banker
true
false
Securitzation is the process of converting illiquid assets into securities
true
false
Securitization is beneficial for banks because it:
repackages bank loans into simpler structures.
increases the funds available for banks to lend.
allows banks to maintain ownership of their securitized assets.
In a securitization, the collateral is initially sold by the:
issuer.
depositor.
underwriter.
Choose the correct answer about sukuk?
Opposite with shariah
Contain riba
Cannot be traded on the secondary market
Provides regular monthly income
What is the definition of sukuk?
Islamic financial certificate
Units of equity ownership in a cooperation
Security that represent the ownership of a fraction of the cooperation
Choose the correct answer about sukuk?
Opposite with shariah
Contain riba
Cannot be traded on the secondary market
Provides regular monthly income
Please name a contract based on which a commodity can be transacted before it comes into existence.
Istisna’
Ijarah
Bai’ al-Salam.
Istisna’ and
Bai’ al-Salam.
