%0 Journal Article %A S.R Vishwanath %A Sabahuddin Azmi %T An Overview of Islamic Sukuk Bonds %D 2009 %R 10.3905/JSF.2009.14.4.058 %J The Journal of Structured Finance %P 58-67 %V 14 %N 4 %X Sukuk (plural) are unique fixed-income vehicles structured as asset-, project- or service-backed entities. They provide proportionate ownership in a designated asset or pool of assets. This enables investors (sukuk holders) to have an undivided, beneficial ownership in the underlying assets, entitling them to a share of the revenues and proceeds upon disposition. A saak (singular) offers the diversification of fixed income, paying an income stream (similar to rental income), while remaining Shari’ah compliant. Since interest- bearing instruments are not permissible under Islamic Investment Principles, the investment concept called sukuk was created as an alternative to traditional bonds. Sukuk are asset-based securities whereas bonds are debt-based. Sukuk are not subject to interest-rate movements. This article provides an overview of the market for sukuk.TOPICS: Developed, fixed income and structured finance %U https://jsf.pm-research.com/content/iijstrfin/14/4/58.full.pdf