Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia

Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia

Islamic Capital Market (ICM) in Malaysia has expanded at an average rate of 13.6% per annum over the ten year period between 2000 and 2010. The size of Malaysia’s ICM is expected to expand at the average rate of 10.6% per annum to reach RM 2.9 trillion by 2020. In line with its future expansion, Sha...

Full description

Bibliographic Details
Main Author: Haron, Razali
Format: Conference or Workshop Item
Language:English
Published: 2013
Subjects:
HG4001 Financial management. Business finance. Corporation finance.
Online Access:http://irep.iium.edu.my/31320/
http://irep.iium.edu.my/31320/
http://irep.iium.edu.my/31320/1/MFAC2013_68_4FKXN7aof6.pdf
id iium-31320
recordtype eprints
spelling iium-313202013-09-14T11:29:36Z http://irep.iium.edu.my/31320/ Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia Haron, Razali HG4001 Financial management. Business finance. Corporation finance. Islamic Capital Market (ICM) in Malaysia has expanded at an average rate of 13.6% per annum over the ten year period between 2000 and 2010. The size of Malaysia’s ICM is expected to expand at the average rate of 10.6% per annum to reach RM 2.9 trillion by 2020. In line with its future expansion, Shariah compliant securities are and will continue to be one of the important elements in ICM. Motivated by this fact, this study intends to explore the dynamic aspect of capital structure among Shariah compliant firms. The study finds that there exists optimal capital structure for Shariah compliant firms in Malaysia with both firm specifics and country specific factors playing important roles. Found to be under-adjust these firms readjust in a rapid speed of adjustment. Such rapid adjustment towards optimal leverage suggests the existence of dynamic trade-off theory. By employing a robust econometric model (GMM), this study contributes to the literature by examining the corporate financing behaviour of Shariah compliant firms in Malaysia ICM. 2013-06-02 Conference or Workshop Item PeerReviewed application/pdf en http://irep.iium.edu.my/31320/1/MFAC2013_68_4FKXN7aof6.pdf Haron, Razali (2013) Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia. In: MFA Conference : Financial Challenges and Economic Growth. The Way Forward, 2-4 June 2013, Kuala Lumpur. http://submit.confbay.com/index.php?option=com_conf&acid=100&Itemid=1
repository_type Digital Repository
institution_category Local University
institution International Islamic University Malaysia
building IIUM Repository
collection Online Access
language English
topic HG4001 Financial management. Business finance. Corporation finance.
spellingShingle HG4001 Financial management. Business finance. Corporation finance.
Haron, Razali
Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia
description Islamic Capital Market (ICM) in Malaysia has expanded at an average rate of 13.6% per annum over the ten year period between 2000 and 2010. The size of Malaysia’s ICM is expected to expand at the average rate of 10.6% per annum to reach RM 2.9 trillion by 2020. In line with its future expansion, Shariah compliant securities are and will continue to be one of the important elements in ICM. Motivated by this fact, this study intends to explore the dynamic aspect of capital structure among Shariah compliant firms. The study finds that there exists optimal capital structure for Shariah compliant firms in Malaysia with both firm specifics and country specific factors playing important roles. Found to be under-adjust these firms readjust in a rapid speed of adjustment. Such rapid adjustment towards optimal leverage suggests the existence of dynamic trade-off theory. By employing a robust econometric model (GMM), this study contributes to the literature by examining the corporate financing behaviour of Shariah compliant firms in Malaysia ICM.
format Conference or Workshop Item
author Haron, Razali
author_facet Haron, Razali
author_sort Haron, Razali
title Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia
title_short Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia
title_full Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia
title_fullStr Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia
title_full_unstemmed Investigating firm and country specifics in pursuing optimality. Shariah compliant securities in Malaysia
title_sort investigating firm and country specifics in pursuing optimality. shariah compliant securities in malaysia
publishDate 2013
url http://irep.iium.edu.my/31320/
http://irep.iium.edu.my/31320/
http://irep.iium.edu.my/31320/1/MFAC2013_68_4FKXN7aof6.pdf
first_indexed 2023-09-18T20:45:32Z
last_indexed 2023-09-18T20:45:32Z
_version_ 1777409649962647552

Similar Items