Sukuk (Islamic bond or “Sharia-compliant” bond)
- Similar to a bond, that complies with Islamic religious law (Sharia),
- Issued by governments or corporate entities and are bought and sold on the secondary market.
- Not debt instruments, but rather a form of equity. Sukuk are used to raise capital for projects, either for a corporation, for a government, or for an individual.
- Issuers of sukuk receive capital from investors in return for regular payments of a predetermined return.
- Return from sukuk can take the form of profits from the underlying assets, rental payments, or a combination of both.
Types of tradable Sukuk in the GCC markets
- Asset-Backed Sukuk:
Are those that are issued against specific, tangible assets such as real estate or goods. The income generated from these assets is then used to repay the investors.
- Investment Sukuk:
Are the most common type of sukuk. They are issued by a company or government to raise capital for projects. The income generated from the projects is then used to repay the investors.
- Ijara Sukuk:
Are those that are issued against a lease agreement. The income generated from the lease agreement is then used to repay the investors.
- Murabaha Sukuk:
Are those that are issued against a sale transaction. The income generated from the sale is then used to repay the investors.
- Mudaraba Sukuk:
Are those that are issued against a capital-raising venture. The income generated from the venture is then used to repay the investors.
- WAKALAH Sukuk:
Are those that are issued against a trust agreement. The income generated from the trust is then used to repay the investors.
In order to buy or sell Sukuk through Mubasher Capital
Clients must first register an account with the platform.
Once the account is set up
Clients can deposit funds into their account and use them to buy or sell the Sukuk of their choice.
The platform also provides clients
With the ability to monitor their investments in real-time and make adjustments as needed.