This blog is all about sharing thought and ideas which are related to money management, financial planning, passive incomes, investing, ASB, Gold and Dinar, Real Estate, Forex, Futures, Stock, Unit Trust and etc. I'm aiming to be a smart investor and any advise and ideas are most welcomed.

Sunday, December 19, 2010

SYARIAH PRINCIPLES

My dear followers and friends..It's been a while since my laaaassst update..i've been pretty busy for the last two years..Here's my latest sharing with you...

SYARIAH PRINCIPLES

Qard
A regular loan in which the client undertakes to repay the principal at a future date. Generall, no interest is charged. However- a service fee is permissible in some jurisdictions as long as such fee is based on the actual cost of administering the loan.

Mudharabah
An arrangement or agreement between the bank, or a capital provider, and an entrepreneur, whereby the entrepreneur can mobilize the funds of the former for its business activity. The entrepreneur provides expertise, labor and management. Profits made are shared between the bank and the entrepreneur according to predetermined ratio. In case of loss, the bank loses the capital, while the entrepreneur loses his provision of labor. It is this financial risk, according to the Shariah, that justifies the bank's claim to part of the profit. The profit-sharing continues until the loan is repaid. The bank is compensated for the time value of its money in the form of a floating rate that is pegged to the debtor's profits.

Comodity Murabahah
This concept refers to the sale of goods at a price, which includes a profit margin agreed to by both parties. The purchase and selling price, other costs, and the profit margin must be clearly stated at the time of the sale agreement. The bank is compensated for the time value of its money in the form of the profit margin. This is a fixed-income loan for the purchase of a real asset (such as real estate or a vehicle), with a fixed rate of profit determined by the profit margin. The bank is not compensated for the time value of money outside of the contracted term (i.e., the bank cannot charge additional profit on late payments); However, the asset remains as a mortgage with the bank until the Murabahah is paid in full.

Bai' Bithaman Ajil (Deferred Payment Sale)
This concept refers to the sale of goods on a deferred payment basis at a price, which includes a profit margin agreed to by both parties. This is similar to Murabahah, except that the debtor makes only a single installment on the maturity date of the loan. By the application of a discount rate, an Islamic bank can collect the market rate of interest.

Ijarah
Ijarah means lease, rent or wage. Generally, Ijarah concept means selling benefit or use or service for a fixed price or wage. Under this concept, the Bank makes available to the customer the use of service of assets / equipments such as plant, office automation, motor vehicle for a fixed period and price.

Sarf
A contract of buying and selling of currencies.

Ujrah
A payment for manfa’ah i.e. usufruct on the use of another’s property. Another term related to ujrah is ajr (plural ujur), which refers to payment for a service. It is also applied to salary, wage, pay, fee(s), charge, enrolment, honorarium, remuneration, reward, etc.

Ijarah and Ijarah 'ala al 'Amal

A contract whereby a lessor (owner of an asset) leases out an asset to a customer/ lessee at an agreed rental payment and pre-determined lease period upon the 'aqd (contract). The ownership of the property remains with the lessor while the lessee only owns the right of the use of the property.

Dhamanah

A contract where a person underwrites claims or obligations that should be fulfilled by a debtor, supplier or contractor. In the event that the debtor, supplier or contractor fails to fulfil his obligations, the guarantor is responsible to fulfil such obligations.

Zakat
A religious obligation of alms-giving on a Muslim to pay a certain amount of his wealth annually to one of the eight categories of needy Muslims (asnaf). The objective is to take away a part of the wealth of the well-to-do to be distributed among the asnaf. According to the Shari’ah, zakat purities wealth and souls.

14 comments:

Anonymous said...

Il semble que vous soyez un expert dans ce domaine, vos remarques sont tres interessantes, merci.

- Daniel

Anonymous said...

Wow, superb weblog structure! How long have you been running a blog for?

you make running a blog look easy. The total look of your web site is
excellent, as neatly as the content material!

Feel free to surf to my website ... cars Insurance Calculators

Anonymous said...

hey there and thank you for your information – I have certainly picked up something new from
right here. I did however expertise some technical points using this site, since I
experienced to reload the web site a lot of times previous to I could get it to load properly.
I had been wondering if your hosting is OK? Not that I'm complaining, but sluggish loading instances times will very frequently affect your placement in google and could damage your high-quality score if ads and marketing with Adwords. Anyway I'm
adding this RSS to my e-mail and can look out for much more of your respective interesting content.
Ensure that you update this again soon.

Check out my blog post Voucher Code For Domino Pizza

Anonymous said...

Somebody essentially help to make significantly articles I would
state. That is the first time I frequented your web page and to this point?
I surprised with the analysis you made to create this actual submit extraordinary.
Excellent process!

Here is my webpage best market research companies

Anonymous said...

I really like your blog.. very nice colors & theme.
Did you design this website yourself or did you
hire someone to do it for you? Plz reply as I'm looking to construct my own blog and would like to find out where u got this from. thank you

my page; free girl stuff

Anonymous said...

When someone writes an paragraph he/she maintains the thought of a user in his/her brain that
how a user can know it. So that's why this post is great. Thanks!

my webpage: Kitsch Jewellery Uk

Anonymous said...

Very great post. I just stumbled upon your blog and wanted to say that I've really loved browsing your blog posts. In any case I'll be
subscribing on your rss feed and I'm hoping you write again soon!

Here is my web blog - global market research Companies

Anonymous said...

Howdy! I know this is kinda off topic nevertheless I'd figured I'd ask.
Would you be interested in exchanging links or maybe guest authoring
a blog post or vice-versa? My blog addresses a lot of the same subjects as yours and
I believe we could greatly benefit from each other. If you're interested feel free to send me an e-mail. I look forward to hearing from you! Wonderful blog by the way!

my website ekloset.com

Anonymous said...

I relish, lead to I found just what I used to be taking a look for.

You have ended my 4 day long hunt! God Bless you man.

Have a nice day. Bye

Also visit my web blog best android 7 inch tablet

Anonymous said...

I simply couldn't depart your web site before suggesting that I actually enjoyed the standard information an individual provide in your guests? Is going to be back steadily in order to inspect new posts

Also visit my page ... certified public accountant Salary

Anonymous said...

certainly like your web-site however you need to take a look at the
spelling on several of your posts. Many of them are rife with spelling issues and I to find it very troublesome
to inform the truth on the other hand I will definitely come again again.


Look at my webpage exercises to increase vertical jump

Anonymous said...

If you are going for most excellent contents like me, only visit this website daily for the reason that it presents feature contents, thanks

Feel free to surf to my website - vertical jump workouts

Anonymous said...

sims online dating http://loveepicentre.com/testimonials/ armstrong and olsen twin dating
parent teen dating agreement [url=http://loveepicentre.com/advice/]free singles dating search[/url] dating free game online simulation
heavy metal dating [url=http://loveepicentre.com/faq/]sell dating profiles[/url] dating singles in manhattan [url=http://loveepicentre.com/user/geegbolly/]geegbolly[/url] dating a man with bratty kids

Anonymous said...

Way cool! Some extremely valid points! I appreciate you penning this post
plus the rest of the website is also very good.


my site home mortgage tips