For example each one of the above murabahah

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For example, each one of the above murabahah instruments can now be traded before maturity at a discounted price. The Malaysian investment bankers have gone several steps further and disaggregated the instrument into zero-coupon bonds separating the principal amount from the profit component (coupon). In both MuNif and ABBA, primary notes representing capital component and secondary notes representing profit portions were issued. The practice, however, has been found to be totally unacceptable in the Middle East and other parts of the globe. Sukuk 11
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Sukuk-Al-Ijarah Sukuk Client Company SPV Vendor Sukuk 3 2 7 4 5 6 Company seeks advice from Investment Bank regarding issue of securities; an SPV is created for the purpose; 2. SPV issues securities to investors; 3. SPV collects funds from investors; 4. SPV pays to Vendor for purchase of Assets; 5. Company as agent of SPV takes delivery of Assets; 6. Company takes Assets from SPV on ijara and makes payment of ijara rentals to SPV; 7. SPV passes them on to investors after deducting mudarib share/ wakala fee for itself. 12
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Sukuk-Al-Ijarah An ideal alternative for structuring debt securities. Sukuk-al-ijarah, sometimes referred to as Ijarah bonds or Ijarah certificates are created when the funds raised by the SPV-Mudarabah are invested in Ijarah operations. Unlike murabaha, the ijara instrument is not evidence of debt, but of a pro-rata ownership of the asset(s) that is on ijara. As such, the instrument can be freely priced in the secondary market and can change hands at any negotiated price. You may note here that holders of ijara sukuk are part-owners of underlying assets and as such, are exposed to risks associated with ownership of the assets. They are also required to maintain the asset in a manner that the lessee is able to derive the expected benefits from it. Sukuk 13
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Sukuk-Al-Salam Salam-based securities may be created and sold by an SPV under which the funds mobilized from investors are paid as an advance to the company SPV in lieu of a promise to deliver a commodity at a future date. All standard Shariah requirements that apply to bai-salam also apply to sukuk al-salam, such as, full payment by the buyer at the time of effecting the sale, standardized nature of underlying asset, clear enumeration of quantity, quality, date and place of delivery of the asset and the like. At the same time the SPV can appoint an agent to market the promised quantity at the time of delivery perhaps at a higher price. The difference between the purchase price and the sale price is the profit to the SPV and hence, to the holders of Sukuk. Sukuk 14
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Sukuk-Al-Salam Such Sukuk obviously involve market risk as the price of the underlying asset may go down instead of moving up in future.
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