An investment contract that is based on investment agency (wakalatul istithmar/ wakalah bil istithmar) where the investment account holder appoint the Islamic financial institution (e.g., Islamic banks) as agent (wakil) for investing their funds for a specified fee in addition to a share of profit if returns exceed a minimum level, the latter being an incentive for the agent to achieve a return higher than expected or normal market benchmarks.
This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Comments