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A 'Sukuk' or Islamic Bond Differs from a Conventional Bond,because

Question 37

Multiple Choice

A 'Sukuk' or Islamic bond differs from a conventional bond,because?


A) A conventional bond is a debt instrument,while a sukuk is an asset-based investment where the investor owns an interest in an underlying asset in proportion to their investment.
B) A conventional bond provides a significantly higher return by providing interest on the investment.
C) Governments are involved in the conventional bond market but there is no government involvement in sukuk.
D) Conventional bonds are suited to raising funds for large scale capital projects,while sukuk is only suited to small scale business projects

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