Islamic Capital Market

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ICM Series: Islamic Equity Market Explained

ICM Series: Islamic equity market Explained

Dates:  22 - 23 September 2018
Venue: Securities Commission Malaysia
Accreditation: SIDC CPE-approved: 10 CPE points


Growing awareness of and demand for investing in accordance with Shariah principles on a global scale have been the catalyst towards a flourishing Islamic financial services industry. This is also a reflection of the increasing wealth and capacity of investors, both Muslim and non-Muslim, to seek and invest in new investment products that serve their needs.
 
As at end 2017, the number of Shariah-compliant securities increased to 688 securities, which constituted 76.19% of the 903 listed securities on Bursa Malaysia excluding LEAP market securities. The market capitalisation of Shariah compliant securities stood at RM1,133.83 billion or 59.46% of the total market capitalisation.
 

  • Programme Delivery

    Programme Objective

    This programme is designed to distinguish between Islamic and conventional equity products and instruments as an alternative means of financing and investments. This module will cover the structures, features, Shariah and regulatory requirements as well as issues relating to trading of Islamic equity products and instruments.

    Learning Outcomes

    By the end of this programme, participants will be able to:
    • distinguish between Islamic and conventional equity products and instruments;
    • describe the structures, features, Shariah and regulatory requirements as well as issues relating to trading of Islamic equity products and instruments; and
    • evaluate the Islamic equity instruments as an alternative means of financing and investments.

    Topic Covered

    • Overview of Equity Market
    • Islamic Equity Products and Instruments
    • Shariah Screening Process
    • Shariah Index
    • Islamic Unit Trust Fund
    • Islamic Real Estate Investment Trusts (I-REITs)
    • Exchange Traded Funds (ETF)
    • Islamic Private Equity (IPE)
    • Islamic Venture Capital (IVC)
    • Best Practices in Islamic Fund Management
    • Simulation

    Target Audience

    Individuals
    Experienced and new professionals or industry practitioners in the capital market, ICM and academia.
     
    Institutions
    Asset management companies, advisory firms, legal firms, accounting firms,  stockbroking firms, investment banks, insurance companies, public listed companies and SMEs.

    Competencies

    Foundational (Product Knowledge) - Islamic Capital Market Products
  • Programme Outline

    Day 1
     
    8.30 am Registration
    9.00 am Overview of Equity Market
    • Concepts and principles of equity market
    • Differences between conventional and Islamic equity products
    10.30 am Refreshments
    11.00 am Islamic Equity Products and Instruments
    • Nature of Shariah supervision
    • Shariah supervision and audit
    • Shariah supervisory board and its independence
     
    Shariah Screening Process
    • Concepts, rationale , criteria of screening process
    • Application of screening process – Malaysia and international practices
    12.30pm Lunch
    2.00 pm Shariah Screening Process (continued)
    • Issues in Shariah screening process
    • Fiqh justification for Shariah benchmark
    3.30 pm Refreshments
    3.45 pm Shariah Index
    • The importance of Islamic index
    • Methodology of index calculation and screening process
    • Local and international Shariah indices
    5.00 pm End of Session

    Day 2
     
    8.30 am Registration
    9.00 am Islamic Unit Trust Fund
    • Applicable Shariah contracts in Islamic UT funds
    • Guidelines on Islamic UT funds
    • Shariah advisors roles and responsibilities
    10.30 am Refreshments
    11.00 am Islamic Real Estate Investment Trusts (I-REITs)
    • Types and structures of I-REITS
    • Benefits of REIT as a source of diversification
    • Characteristics, process and regulatory framework  of  Shariah compliant REITS
    • Discussion on I-REITS Guidelines - Case Study
     
    Exchange Traded Fund (ETF)
    • Nature of ETF with respect to stocks and unit trusts
    • Advantages and disadvantages of an ETF structure
    • ETF structure
    • Islamic ETF (I-ETF)
    • The operation of I-ETF
    12.30pm Lunch
    2.00 pm Islamic Private Equity (IPE)
    • Overview , definition, structure & features of IPE
    • Choices of investment in IPE
    • Shariah issues relating to investment in private equity
     
    Islamic Venture Capital (IVC)
    • Overview of IVC
    • Structure of venture capital firms & funds
    • Establishing on IVC
    • Investing in IVC funds
    • Application of Shariah principles and issues
    3.30 pm Refreshments
    3.45 pm Best Practices in Islamic Fund Management
    • Purification
    • Cleansing
     
    Simulation
    • Stock screening
    • REITS
    • Guidance on Disposal of non-compliance securities
    5.00 pm End of Programme


     
  • Programme Fees

    Items Standard Early Bird (Before 6 July 2018)
    ICM Programmes Combo - 6 Programmes* RM650/ Programme RM550/ Programme
    Custom Combo -3 or more Programmes (Any programmes under ICM Series)* RM700/Programme RM600/ Programme
    1 Programme* RM750/Programme RM650/ Programme
    *Upon registration, please email to registration@sidc.com.my to entitle for the combo price