IBANK 10.1.2 Sukuk

(1) Sukuk are certificates that represent a holder's proportionate ownership in an undivided part of an asset or pool of assets where the holder assumes all rights and obligations to the asset or pool.
(2) The assets that may be the subject of sukuk include:
(a) tangible assets (including istisna assets);
(b) intangible assets;
(c) financial assets;
(d) usufructs (including ijarah lease assets);
(e) services;
(f) equity participation in business ventures (such as mudarabah and musharakah);
(g) a pool of the kinds of assets mentioned in paragraphs (a) to (d); and

Note The pooling of different kinds of assets allows for greater mobilisation of funds. For example, an SPE would be able to issue tradeable sukuk for financial assets that would not normally be tradeable on their own, if the SPE packages a pool made up of a proportion of financial assets.
(h) any other asset approved in writing by the Regulatory Authority.
(3) The assets that are the subject of sukuk must be Shari'a-compliant and readily identifiable. The assets may be in a specific project or investment activity that must itself be Shari'a-compliant.
Inserted by QFCRA RM/2017-1 (as from 1st April 2017).