Islamic finance transaction structures

View Banking & Finance by content type:

Latest Banking & Finance News

Featured Banking & Finance content

Practice notes
What are incremental facilities?An incremental facility is feature included in a credit agreement where, subject to meeting certain pre-agreed...
Read More >
Produced in partnership with Osborne Clarke 12th Jan
Practice notes
Development of the Loan Market Association (LMA) documentationThe project to develop the LMA investment grade documents began in 1998 as a response to...
Read More >
9th Nov
Practice notes
The vast majority of derivative transactions are documented by standard documentation developed and published by the International Swaps and...
Read More >
9th Nov
Practice notes
What is a direct agreement?Direct agreements are very common in project finance transactions. A direct agreement is an agreement which gives the...
Read More >
9th Nov
Practice notes
BREXIT: As of 31 January 2020, the UK is no longer an EU Member State, but has entered an implementation period during which it continues to be...
Read More >
9th Nov
Practice notes
This Practice Note explains the features of three common types of loan facility:•overdrafts•term loans, and•revolving credit facilities (RCFs)It also...
Read More >
9th Nov
Practice notes
What is a 'capital call facility'?A capital call facility is a form of finance provided by a lender to a fund and typically secured against investors’...
Read More >
Produced in partnership with Peter Olds of Cleary, Gottlieb, Steen & Hamilton 12th Jan
Practice notes
BREXIT: As of 31 January 2020, the UK is no longer an EU Member State, but has entered an implementation period during which it continues to be...
Read More >
9th Nov
Practice notes
Subordination is a way of changing the priority of claims against a debtor so that one creditor or group of creditors (the junior creditor(s)) agree...
Read More >
9th Nov
Practice notes
Coronavirus (COVID-19): The ICC has issued a guidance paper on the impact of COVID-19 on trade finance transactions issued subject to ICC rules. For...
Read More >
9th Nov
Practice notes
Sub-participation is a means by which a lender can transfer its risk in a loan to another lender. For an overview of the reasons why a lender might...
Read More >
9th Nov
Practice notes
What are they?A bridge to bond facility is a type of acquisition financing where the buyer requires the certainty of a fully committed financing...
Read More >
Produced in partnership with Cleary Gottlieb and Ian Chin of Morrison & Foerster 12th Jan
Practice notes
Summary of advantages and disadvantages of the floating chargeThis Practice Note discusses the advantages and disadvantages of taking a floating as...
Read More >
9th Nov
Practice notes
Documents for a typical project finance transaction can be split into three broad categories:•finance documents—the finance documents govern the debt...
Read More >
9th Nov
Practice notes
Commodity repurchases (repos) are a common alternative method of financing. There are a number of advantages for both the financier and a commercial...
Read More >
Produced in partnership with Sullivan 12th Jan
Practice notes
Shares are commonly offered as security for a loan in commercial lending transactions.Practice Note: Taking security over shares explains how to take...
Read More >
9th Nov

Most recent Islamic finance transaction structures content

Practice notes
Like their conventional counterparts, takaful operators (ie Islamic insurance providers) have a number of ways to distribute their Shari’ah compliant...
Read More >
Produced in partnership with Dr Hiba Allam, PhD in Islamic Insurance Law 17th Jan
Practice notes
When the murabaha structure was being developed for use in the UK, practitioners understood that the structure's novelty would produce a degree of...
Read More >
Produced in partnership with King & Spalding 17th Jan
Practice notes
Takaful is a means of providing risk-cover conducted in line with the principles of Islam. To understand the mechanics of takaful and its...
Read More >
Produced in partnership with Dr Hiba Allam, PhD in Islamic Insurance Law 17th Jan
Practice notes
Key elements of bai salamAs discussed in more detail in the Practice Note: The structure and required elements of a bai salam transaction, in...
Read More >
Produced in partnership with Trowers & Hamlins LLP 17th Jan
Practice notes
Introduction—transactional Islamic financeThere are a number of different opinions and principles iterated by Shari’ah board members when interpreting...
Read More >
Produced in partnership with Morgan, Lewis & Bockius LLP 17th Jan
Practice notes
A Shari’ah compliant leasing agreement takes the form of an ijarah which can either be akin to an operating lease, whereby the asset is returned to...
Read More >
Produced in partnership with Hogan Lovells International LLP 17th Jan
Practice notes
TerminologyGiven the historic origins of Shari'ah principles and jurisprudence in general and those underlying the development of bai salam, much of...
Read More >
Produced in partnership with Trowers & Hamlins LLP 17th Jan
Practice notes
This Practice Note provides an overview of the key considerations that an Obligor should take into account in selecting an appropriate structure for...
Read More >
Produced in partnership with Dentons LLP 17th Jan
Practice notes
A basic murabaha and a commodity murabaha arrangement can both be structured to facilitate a single transaction, or to operate on a revolving basis so...
Read More >
Produced in partnership with King & Spalding 17th Jan
Practice notes
Shari’a-compliant financing arrangements (also known as Islamic financing arrangements) can take a number of forms. The UK has introduced specific...
Read More >
Produced in partnership with Sarah Squires of Old Square Tax Chambers 15th Jan
Practice notes
Murabaha agreements may be employed to provide working capital or acquisition financing. A murabaha arrangement entered into for such purposes is...
Read More >
Produced in partnership with King & Spalding 8th Jan
Practice notes
Some commentators have noted that the interplay of form and substance for UK tax purposes parallels the relationship of form and substance for...
Read More >
Produced in partnership with King & Spalding 8th Jan
Practice notes
Murabaha contracts typically provide that the laws of England and Wales will govern agreements performed in the UK. A number of factors favour this...
Read More >
Produced in partnership with King & Spalding 8th Jan
Practice notes
In the Name of Allah, the Most Beneficent, the Most MercifulThe evolution of Islamic financeThe requirement for financing is an essential requirement...
Read More >
Produced in partnership with Freshfields Bruckhaus Deringer LLP 8th Jan
Practice notes
This Practice Note provides an overview of the differences between the Sukuk markets in the Middle East and Far East, including recent trends and...
Read More >
Produced in partnership with Trowers & Hamlins LLP 8th Jan
Practice notes
This Practice Note sets out the key differences between conventional bonds and sukuk, or trust certificates as they are otherwise known, (the Sukuk)....
Read More >
Produced in partnership with Dentons LLP 8th Jan
Practice notes
Introduction to musharaka—a profit and loss sharing instrument of Islamic financeA fundamental principle of Islamic finance is that of ‘no profit...
Read More >
Produced in partnership with Morgan, Lewis & Bockius LLP 8th Jan
Practice notes
Introduction—a pure theory or a dead practice?For a number of years, Islamic financing has been offered by both Islamic financial institutions (IFIs),...
Read More >
Produced in partnership with Morgan, Lewis & Bockius LLP 8th Jan
Practice notes
Murabaha is both one of the most widely used and controversial Islamic finance techniques. Murabaha (often referred to as ‘cost plus profit...
Read More >
Produced in partnership with King & Spalding 8th Jan
Practice notes
Takaful is the provision of risk-cover conducted in line with the principles of Islamic law (Shari’ah). It offers a unique and important alternative...
Read More >
Produced in partnership with Dr Hiba Allam, PhD in Islamic Insurance Law 8th Jan

Popular documents