Wednesday, 19 May 2010

Philosophical Foundations of Law and Finance - 53rd Weekly Meeting

Dear all

At the 53rd session of the Philosophical Foundations of Law and Finance on Friday 21 May 2010, from 6.00 to 8.80pm, in room 5.16, 309 Regent Street (University of Westminster) we will be glad to host Ardeshir Atai, PhD candidate in International Investment Law at the Institute of Advanced Legal Studies, University of London, who will kindly present his research on “Islamic Financial Investment: Reconciling Theory and Reality”.

Ardeshir will firstly provide an overview of the Islamic finance tools. Islamic finance has been presented as an alternative to Western intangible, crumbling capitalism. The main idea behind devising Islamic financial instruments is the promotion of social responsibility and economic justice as mandated by the Divine Law. Islamic investment is based on the principle of partnership and profit and risk sharing (PRS). It forbids Riba (interest) and Gharar (uncertainty) and requires the investment to be physical and asset-based. The main Islamic instruments are Musharaka, Murabah, Mudarabah, Istisna, Salam, Sukuk, Ijarah.

Ardi’s talk subsequently addresses the following captivating question: why do Sharia-compliant investments appeal more to investors than conventional banking which is perceived as economically efficient when in reality they incur extra costs to meet their formal requirements?

After the seminar tradition shall take us to Vapiano (19-21 Great Portland Street, W1W 8QB), from 8.00pm onwards.

See you on Friday!
Joe and Laura

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