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Cash Realizable Value

The amount that a company expects to realize in cash (naqd) or cash equivalent (ashbah al-naqd) as payment from customers…

Capital Provider

The provider of funds in a contract of mudaraba. The capital provider (in Arabic rab al-mal) hands over mudaraba capital…

Hard Barrier Option

A barrier option which has a hard barrier (i.e., a level rather than a range). This option is typically knocked…

Capital of Sharika

Partners in a sharika should contribute capital in the form of cash or cash equivalents based on which the amount…

Ba’i al-‘Aariyyah

A type of sale in which some trees in an orchard are donated by the owner to the needy in…

Hard Commodity

A commodity that is the product of mining and extractive processes (such extraction of metals, minerals, oil, coal, etc). This…

‘Ariyah

Arabic (عارية) for a gratuitous loan (qard) whose underlying is a non-fungible (mithli) object or property, the substance of which…

GAPP Futures

It stands for gas-at-the-pump futures. It is a futures contract in which the underlying is the retail price of gasoline.…

Ba’i al-‘Aaraya

A type of sale in which some trees in an orchard are donated by the owner to the needy in…

Far Option

The longer-date option in an option spread. That is, the part of an option spread (such as a calendar spread)…