01932cas a2200253 a 4500 AALejournalIMF011720 230101c9999 xx r poo 0 0eng d 5.00 USD 9781463938406 1018-5941 BD-DhAAL BD-DhAAL Sole, Juan. Operative Principles of Islamic Derivatives : Towards a Coherent Theory / Juan Sole, Andreas Jobst. Washington, D.C. : International Monetary Fund, 2012. 1 online resource (33 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Derivatives are few and far between in countries where the compatibility of financial transactions with Islamic law requires the development of shari'ah-compliant structures. Islamic finance is governed by the shari'ah, which bans speculation and gambling, and stipulates that income must be derived as profits from the shared generation of goods and services between counterparties rather than interest or a guaranteed return. The paper explains the fundamental legal principles underpinning Islamic finance with a view towards developing a cohesive theory of derivatives subject to shari'ahprinciples. After critically reviewing accepted contracts and the scholastic debate surrounding existing financial innovation in this area, the paper offers an axiomatic perspective on a principle-based permissibility of derivatives under Islamic law. Mode of access: Internet Jobst, Andreas. IMF Working Papers; Working Paper ; No. 2012/063 Full text available on IMF http://elibrary.imf.org/view/journals/001/2012/063/001.2012.issue-063-en.xml IMF e-Library