Part Three

Regulations and Institutions of Capital Markets and Islamic Structured Finance

This part describes the regulations and institutions of capital markets and analyzes Islamic structured finance. It has four chapters. Chapter 18 describes the objectives of regulations and the institutions in charge of regulations. It describes the infrastructure of capital markets, which includes the stock, bond, sukuk, and derivatives markets, intermediaries such as brokerage firms, clearinghouses, investment banks, and investment funds. Chapter 19 describes regulatory authorities of Islamic capital markets, which include Sharia advisory boards as well as international regulatory bodies responsible for Sharia-compliance of Islamic instruments. This chapter describes Islamic modes of financing; it analyzes also guidelines for issuing Islamic securities. Chapter 20 analyzes the structure and risk of sukuks. Chapter 21 discusses derivatives-based structured products.

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