ICM Series: Islamic Derivatives

Past Programmes

25
Sep 2019

8:30 am - 5:00 pm

Securities Commission Malaysia

10 CPE

MYR 750 *Fee is not inclusive of 8% SST

ICM Series: Islamic Derivatives

 

Despite their importance in financial sector development, derivatives are few and far between in countries where the compatibility of capital market transactions with Islamic law requires the development of Shariah-compliant structures. Islamic finance is governed by the Shariah, which bans speculation, but stipulates that income must be derived as profits from shared business risk rather than interest or guaranteed return.

Programme Objective

This programme is designed to discuss the Islamic derivatives products and instruments as an alternative means of financing and investments. This module will cover the structures, features, Shariah and regulatory requirements applicable to Islamic derivatives products and instruments.

Learning Outcomes

By the end of this programme, participants will be able to:

  1. describe the Shariah-compliant derivatives and its regulatory framework;
  2. explain the concepts and contracts used in Shariah-compliant derivatives; and
  3. discuss the issues involving Shariah-compliant derivatives from Shariah perspectives.

Topics Covered

  1. Overview of Derivatives in Islamic Capital Market
  2. Islamic Derivatives Instruments
  3. Development and Regulatory Framework of Shariah Compliant Derivatives

Competencies

Foundational (Product Knowledge) – Islamic Capital Market Products

Target Audience

Individual 

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.

8.30 am Registration
9.00 am Overview of Derivatives in Islamic Capital Market

  • What is derivatives
  • Introduction to derivatives and the underlying instruments
  • Development and regulatory framework of Shariah-compliant derivatives
10.30 am Refreshments
11.00 am Islamic Derivatives Instruments

  • Types of Shariah-compliant derivatives in Malaysia
  • Applicable Islamic finance concepts in Shariah-compliant derivatives contracts
12.30pm Lunch
2.00 pm Islamic Derivatives Instruments

  • Various contracts used by Shariah-compliant derivatives
  • Shariah-compliant structured products
3.30 pm Refreshments
3.45 pm Development and Regulatory Framework of Shariah Compliant Derivatives

  • Derivatives as risk management tools
  • Legitimacy of derivatives from Shariah perspectives
  • Shariah issues in Shariah-compliant derivatives
5.00 pm End of Session

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