Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia

In a dual capital market system such as in Malaysia, the possibility for investors to choose either the Islamic funds or the conventional funds is highly likely depending on the performance of the funds. While some investors would adhere to the requirements of the Sharīʿah in making their investment...

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Bibliographic Details
Main Authors:	Othman, Anwar Hasan Abdullah, Aziz, Hasanuddeen Abdul, Kassim, Salina
Format:	Book Chapter
Language:	English
Published:	IIUM Institute of Islamic Banking and Finance (IIiBF) 2019
Subjects:	HG4301 Trust services HG4501 Stocks, investment, speculation
Online Access:	http://irep.iium.edu.my/73094/ http://irep.iium.edu.my/73094/ http://irep.iium.edu.my/73094/1/73094_Making%20the%20right%20investment%20choice.pdf

id	iium-73094
recordtype	eprints
spelling	iium-730942020-02-28T08:47:22Z http://irep.iium.edu.my/73094/ Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia Othman, Anwar Hasan Abdullah Aziz, Hasanuddeen Abdul Kassim, Salina HG4301 Trust services HG4501 Stocks, investment, speculation In a dual capital market system such as in Malaysia, the possibility for investors to choose either the Islamic funds or the conventional funds is highly likely depending on the performance of the funds. While some investors would adhere to the requirements of the Sharīʿah in making their investment decision, there remains many who are guided purely by profit and would likely switch depending on the fund performance. This study is carried-out to compare the performance of both the Islamic and conventional equity unit trust funds in Malaysia in order to guide investors in planning their choice and determining their portfolio diversification strategy. The two-sample test of hypothesis was conducted to compare the performance of the two population means via the capital gain over the period from January 2004 to December 2009. The findings of this study show that the Islamic equity unit trust funds perform better than the conventional equity unit trust funds in the Malaysian capital market during the specified time period, suggesting that the Islamic equity unit trust funds in Malaysia are more profitable than the conventional equity unit trust funds. This study provides relevant inputs to further support the development of a vibrant Islamic equity market could serve as an international Islamic financial hub at the global level. IIUM Institute of Islamic Banking and Finance (IIiBF) 2019-07-04 Book Chapter NonPeerReviewed application/pdf en http://irep.iium.edu.my/73094/1/73094_Making%20the%20right%20investment%20choice.pdf Othman, Anwar Hasan Abdullah and Aziz, Hasanuddeen Abdul and Kassim, Salina (2019) Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia. In: Islamic Fund & Wealth Management. A way forward. IIUM Institute of Islamic Banking and Finance (IIiBF), IIUM Institute of Islamic Banking and Finance (IIiBF), 07-117. ISBN 978-983-44568-4-9 73094
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	HG4301 Trust services HG4501 Stocks, investment, speculation
spellingShingle	HG4301 Trust services HG4501 Stocks, investment, speculation Othman, Anwar Hasan Abdullah Aziz, Hasanuddeen Abdul Kassim, Salina Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia
description	In a dual capital market system such as in Malaysia, the possibility for investors to choose either the Islamic funds or the conventional funds is highly likely depending on the performance of the funds. While some investors would adhere to the requirements of the Sharīʿah in making their investment decision, there remains many who are guided purely by profit and would likely switch depending on the fund performance. This study is carried-out to compare the performance of both the Islamic and conventional equity unit trust funds in Malaysia in order to guide investors in planning their choice and determining their portfolio diversification strategy. The two-sample test of hypothesis was conducted to compare the performance of the two population means via the capital gain over the period from January 2004 to December 2009. The findings of this study show that the Islamic equity unit trust funds perform better than the conventional equity unit trust funds in the Malaysian capital market during the specified time period, suggesting that the Islamic equity unit trust funds in Malaysia are more profitable than the conventional equity unit trust funds. This study provides relevant inputs to further support the development of a vibrant Islamic equity market could serve as an international Islamic financial hub at the global level.
format	Book Chapter
author	Othman, Anwar Hasan Abdullah Aziz, Hasanuddeen Abdul Kassim, Salina
author_facet	Othman, Anwar Hasan Abdullah Aziz, Hasanuddeen Abdul Kassim, Salina
author_sort	Othman, Anwar Hasan Abdullah
title	Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia
title_short	Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia
title_full	Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia
title_fullStr	Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia
title_full_unstemmed	Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia
title_sort	making the right investment choice? comparing the performance between islamic and conventional equity unit trust funds in malaysia
publisher	IIUM Institute of Islamic Banking and Finance (IIiBF)
publishDate	2019
url	http://irep.iium.edu.my/73094/ http://irep.iium.edu.my/73094/ http://irep.iium.edu.my/73094/1/73094_Making%20the%20right%20investment%20choice.pdf
first_indexed	2023-09-18T21:43:39Z
last_indexed	2023-09-18T21:43:39Z
_version_	1777413305843843072

Making the right investment choice? comparing the performance between Islamic and conventional equity unit trust funds in Malaysia

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