Islamic Finance Qualification

ELEMENT 1 The Basis of Islamic Banking and Finance

• The ethical underpinning of Islamic finance
• The role of the Sharia’a
• Qur’an and Sunnah approaches to Islamic Finance

ELEMENT 2 An Introduction to Islamic Banking and Finance

• The development of Islamic finance and banking
• Main functions of Islamic banks
• Operating structures and organisational forms adopted by the Islamic Financial Services Industry
• Institutional bodies overseeing and/or supporting Islamic finance and banking

ELEMENT 3 Islamic Law of Contracts

• The ethical precepts relating to Islamic business
• The major prohibitions in Islamic Finance (Riba, Gharar)
• The classification of and conditions applied to contracts with respect to their effect: Sahih, Fasid and Batil
• The nature of the security contracts: Hawala, Kafala, Rahn

ELEMENT 4 Financial Contracts and Techniques Applied by Islamic Banks

• The distinction between a conventional bank intermediary and an Islamic intermediary
• The operation of current accounts in Islamic banking
• Fund Management in Islamic Finance
• The use of Ijara Mawsoofa Bil Thimma (Forward Lease)

ELEMENT 5 Islamic Investment Management

• The Islamic investment guidelines
• Islamic contracts in structuring Islamic investment funds
• The approaches used to manage the market risk of portfolios and equity funds
• The benefits of direct investments: Shares and Real Estate

ELEMENT 6 Sukuk Market

• Introduction and Basic overview of the Sukuk Market
• The differences between conventional and Islamic securities
• The responsibilities of the different parties to a Sukuk
• Sukuk standards and Capital Market considerations

ELEMENT 7 Islamic Insurance – Takaful

• The position of Islam regarding insurance
• The origins of Takaful
• The risks associated with Takaful claims and their mitigation

ELEMENT 8 Financial Statements

• The conceptual framework of International Financial Reporting Standards (IFRS)
• Path towards the establishment of Islamic Accounting Standards
• The conceptual framework of AAOIFI financial accounting statements

ELEMENT 9 Islamic Corporate Governance

• The origins and nature of Corporate Governance
• Corporate Governance challenges in Islamic Banking
• The roles of the Sharia’a Supervisory Board in the Corporate Governance of an Islamic bank