Purpose The chapter aims to examine the challenges and the opportunities for the development of Islamic stockbroking in Malaysia. Methodology The chapter adopts library research to discuss the concept of Islamic stockbroking. It also employs a semi-structured interview with industry players to prognosticate the future development of Islamic stockbroking in Malaysia. Research Findings The study concludes that the future of Islamic stockbroking in Malaysia is very promising, triggered by drivers on both the supply side and the demand side. The large Muslim population, wealth and economic growth are among the key factors for the development of Islamic stockbroking from the demand side. On the other hand, the Shari’ah compliance of 89% of Malaysian stocks, Malaysia’s position as an Islamic finance hub and the natural progression of Islamic finance are all factors underpinning the future of Islamic stockbroking from the supply side. However, lack of qualified human resources, political inconsistency, information technology infrastructure, product innovation as well as public perception are obstacles to its development. Value This chapter will add new literature in contemporary Islamic finance, as not many studies have been done on the subject.
CHALLENGES AND OPPORTUNITIES FOR DEVELOPMENT OF ISLAMIC STOCKBROKING IN MALAYSIA
Tanggal Publikasi: 26 Jan 2023
Islamic stockbroking; Malaysia; Shari’ah; challenges; opportunities