01.12.2009 - The issue of shariah compliance and the Nakheel sukuk
From FT Alphaville: When is a sukuk not a sukuk? When it fails to be shariah compliant, of course. And the key issues, it seems, that may or may not make a sukuk shariah-compliant relate to principal protection and the bondholder’s unsecured status. After all, if there’s one tenet that applies to sukuk bonds more than any other it’s the concept of “no risk, no reward”. The idea of principal protection in that case goes completely against the ethos of Islamic finance..................................Full Article: Source
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