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Financial Authority Guideline

46 Islamic Finance in the UK: Outlook

To date the industry has largely concentrated on providing mortgage and

savings products for retail consumers, and growth has been modest. The tax and regulatory developments already outlined could benefit the market and there are signs of firms expanding their product ranges through provid- ing new saving and investment products.

49 Bursa Malaysia’s role in the development of

the Malaysian Islamic Capital Markets

Malaysia’s 30 years of Islamic finance experience was encapsulated into a single initiative in August 2006; the Malaysia International Islamic Financial Centre (MIFC) initiative to further promote Malaysia as a major hub for international Islamic finance following a promising development in the

national Islamic Capital Markets.

Islamic banking regulations

57 Basel II and Islamic banking, part 2

As we discussed in part I, the Internal Ratings-Based Approach used by

conventional banking institutions in relation to Basel II would be ideal for Is- lamic banks, if it could be adapted accordingly. In terms of retail exposures, the IRB approach includes an expanded treatment.

Ethical Investment

60 Sharia’a-Compliant Investing-Many Happy Returns?

It is currently a widely held belief that sharia’a-compliant investment does not reap the same volume of returns as conventional investing.

Investment

64 Breakthrough in Islamic Finance – Tahawwut

The launch of the Tahawwut (Hedging) Master Agreement (TMA) earlier in

March 2010 by the Bahrain-based International Islamic Financial Market (IIFM) in cooperation with the International Swaps and Derivatives Associa- tion, Inc.

Market review

67 Things can only get better in the World of Is-

lamic Banking

Several countries have started to place an emphasis on a consumer-friend- ly banking system that has evidently proven its ability to avoid the harsh effects of the global economic crisis.

68 Event report

70 Book review

72 Event listing 73 Events calendar

74 Business directory 76 Glossary 78 In the next issue

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