DOES ISLAMIC FINANCE FOLLOW FINANCIAL HIERARCHY? EVIDENCE FROM THE MALAYSIAN FIRMS

Autor:	Mamoru Nagano
Rok vydání:	2021
Předmět:	Economics and Econometrics Hierarchy Information asymmetry Issuer business.industry Accounting Sample (statistics) Business Sukuk Degree (music) Islamic finance
Zdroj:	The Singapore Economic Review. 67:511-540
ISSN:	1793-6837 0217-5908
DOI:	10.1142/s0217590821420030
Popis:	Focusing on the sukuk market in Malaysia from 2000–2017, this study estimates the degree of each sample issuer information asymmetry and investigates how it influences sukuk issuance and how it differs by sukuk type. First, we find that a cost-plus-sales-based Murabahah sukuk is available for all sukuk issuers, even though the degree of information asymmetry is high. Second, a lease-based Ijarah sukuk can be chosen by high information asymmetric firms only when the firm has qualified collateral assets. Third, only a low information asymmetric firm can choose a profit-and-loss sharing-based Musyarakah sukuk. Therefore, we conclude that sukuk issuance also follows a financial hierarchy in accordance with the agency costs of each financial methodology required when a specific sukuk is chosen.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::ae38b3ede907243afdc5406a3a1ef5a6 https://doi.org/10.1142/s0217590821420030 Zobrazit plný text záznamu