Certificates of equal value (sukuk) which are issued and sold to investors (as owners or bearers) who, by virtue thereof, have proportional claims over the financial rights underlying these certificates. Likewise, investment sukuk holders will also be proportionately liable for obligations arising from these certificates. In this sense, investment sukuk represent common shares in the pool of assets made available for investment, of whatever type (physical assets, intangible assets, usufructs, services, receivables, or any combination of these different types).
However, these sukuk are not bonds or fixed-income securities, as they don’t represent debts owed to the issuer by sukuk holders. Holders share sukuk returns and proceeds according to percentages stated in the prospectus, and bear losses in proportion to the number of certificates (sukuk) held by them.
