Benefit SEQOQ (or islamic investment) and related risk covering

Subject Areas : Financial Knowledge of Securities Analysis

Taghe Torabi ¹ , Samaneh Tarighi ² , Abdolah Daryabor ³ , Peyman Tataei ⁴

1 - Associate Professor and faculty member of Islamic Azad University, Science and Research Branch,
2 - PhD student in Economics, Islamic Azad University, Science and Research
3 - PhD student in Financial Management, Islamic Azad University, Science and Research
4 - PhD student in Financial Management, Islamic Azad University, Science and Research

Received: 2014-05-15 Accepted : 2014-06-10 Published : 2014-12-22

Keywords: SEQOQ, Risk, interest securities, future benefits,

Abstract :

One of the innovations of the last decade in the field of Islamic monetary and financial debates is the publication of a variety of Islamic securities which is designed on the basis of Islamic agreements and appropriate alternative to the unlawful profit securities particularly is counted the bonds.This article discusses the publication of interest securities, explanation of types of the risks associated with its securities and its stakeholders and also provide the management strategies, reduce and or coverage of these securities risk. It is expected to provide disseminate and improve these more financial instruments in Islamic countries with explaining the interest bonds ways and especially the risk of these securities. The interest securities is negotiable securities which is published based on Islamic agreements and represent its holders condominium on future interests and durable assets that transferred in lieu of payment of specified sum and the holders of the securities may benefit financial same and equivalent of the interests. As per findings, this research and model provided shall be operated for these securities, stakeholders of debts including sponsor (durable asset owners), real customers and investors and the interest securities shall be the instrument for return and coverage of the risk of each of the stakeholders. The sponsor of the securities covered the risk of future interests' sale for its asset, safe return investors, real customers, beneficial right from future interests for basic asset with publication, investing and or purchasing the interest securities. Although the interest securities in the frame of the research is a financial tool to gain the return and coverage of the risk, but like any other financial asset is exposed to various risks such as interest rate, liquidity and operational risks and also etc. which is presented as much as possible coverage guidelines of these risks.