Sharea Compliant (SC) capital from Middle East and Asia is a significant portion of the global capital available for investment. Global economies can no longer afford to ignore this pool of capital. SC capital have invested private and public companies in various sectors including food, infrastructure, technology, education. real estate, hospitality and health care in OECD countries very successfully.
Sharea Compliant Finance
Our team has the unique skills in the Australian market to assist clients in Sharea Compliant (SC) financial solutions. We can provide assistance to investors as well other financial institutions looking to grow or attract SC investors. We work with leading Sharea scholars to ensure our clients' get pragmatic and creative SC financial solutions.
As a broad principal, Sharea Compliant finance is built on the principle of fairness, honesty, integrity and pulling together as a team for the benefit of all the stakeholders.
Our team and associates are able to assist our clients in:
- Fund Management - Managed Technology health care and turnaround Sharea complaint funds regulated in Bahrain, Dubai and KSA
- SC Transactions - Advised on transactions in Electric car, telecommunication animation
- SC Equity - Raised SC capital for various global organisations
- SC Corporate Debt - Advised on the issuance of Sukuk (SC Bonds)
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Key differences of SC to conventional finance
- SC Finance is a set of investment rules and structures - In normal cases it does not materially alter the risk profile of the investment - It has been know to place restrictions on debt/equity ratio and financial decisions, such as investments - Any party entering a SC transaction needs to be clear on its unique characteristics - Assets or longer (Ijara) or shorter (Murabaha) time on the books of the Banks (liabilities) - The banks participate as partner in projects with clients (assets during partnership in the books of the Banks - liabilities – bank sometimes “manager”- liabilities) - Conventional tax system not adapted (for instance the “double sale” at Diminishing Musharaka) - Conventional regulatory and supervisory not adapted (expect cash streams only – qualifies liabilities accordingly) - Conventional accounting programs for financial systems not adapted (or do not grasp sufficient nuance) - Conventional accountants not adapted : used to “re-qualify” (“substance over form”) |

