Banking Governance, performance and risk-taking : conventional banks vs Islamic banks / Faten Ben Bouheni, Chantal Ammi, Aldo Levy.

Format:

Book

Author/Creator:

Ben Bouheni, Faten, author.

Ammi, Chantal, author.

Lévy, Aldo, author.

Series:

Innovation, entrepreneurship and management series.

Innovation, entrepreneurship and management series

Language:

English

Subjects (All):

Banks and banking.

Banks and banking--Risk management.

Banks and banking--Religious aspects--Islam.

Banks and banking--Islamic countries.

Physical Description:

1 online resource (279 pages) : illustrations (some color)

Edition:

1st ed.

Place of Publication:

Hoboken, New Jersey : ISTE Ltd/John Wiley and Sons Inc, 2016.

Summary:

Development of emerging countries is often enabled through non-conventional finance. Indeed, the prohibition of interest and some other impediments require understanding conventional finance and Islamic finance, which both seek to be ethical and socially responsible. Thus, comparing and understanding the features of Islamic banking and conventional banking, in a globalized economy, is fundamental. This book explains the features of both conventional and Islamic banking within the current international context. It also provides a comparative view of banking governance, performance and risk-taking of both finance systems. It will be of particular use to practitioners and researchers, as well as to organizations and companies who are interested in conventional and Islamic banking.

Contents:

Cover

Title Page

Copyright

Contents

Preface

Introduction

PART 1. From Corporate Governance to Banking Governance

1. Corporate Governance: A Brief Literature Review

1.1. The features of corporate governance

1.1.1. Definitions of corporate governance

1.1.2. Nature of the agency problem

1.1.3. Origins of the agency problem

1.1.4. Solutions

1.2. Fundamental theories of corporate governance

1.2.1. Transaction cost theory

1.2.2. Agency theory

1.2.3. Stewardship theory

1.2.4. Stakeholder theory

1.2.5. Resource dependency theory

1.2.6. Political theory

1.3. Corporate governance and ethics

1.3.1. Ethics in Islamic finance

1.4. Corporate governance and psychological biases

1.4.1. Transnational governance

2. Banking Governance

2.1. Banking

2.1.1. What is banking?

2.1.2. Banking structure

2.1.3. Universal banking

2.1.4. Bank holding companies

2.1.5. Offshore banks

2.2. Central banks

2.2.1. Monetary control or price stability

2.2.2. Prudential control

2.2.3. Government debt placement

2.3. Special features of banks

2.3.1. Special activities of banks

2.3.2. Special problems of banks

2.4. Special features of banking governance

2.4.1. Banking governance

2.4.2. Information asymmetries

2.4.3. Moral hazard

3. Islamic Banking Governance

3.1. Specific products of Islamic banking

3.2. Financial transactions of Islamic banks with the bank's participation

3.2.1. Mudarbah (profit sharing)

3.2.2. Musharkah (joint venture)

3.3. Financial transactions of Islamic banks without the bank's participation

3.3.1. Murabahah (cost plus)

3.3.2. Musawamah

3.3.3. Ijarah

3.3.4. Bai al-inah (sale and buy back agreement)

3.3.5. Bai' Bithaman Ajil (deferred payment sale)

3.3.6. Bai Muajjal (credit sale)

3.3.7. Bai Salam.

3.3.8. Hibah (gift)

3.3.9. Qard Hassan (good loan)

3.3.10. Wadiah (safekeeping)

3.3.11. Sukuk (Islamic bonds)

3.3.12. Takaful (Islamic insurance)

3.3.13. Wakalah (agency)

3.3.14. Tawarruq

3.3.15. Deposits

3.3.16. Islamic investment funds

3.4. Overview of Islamic banking

3.4.1. Classical Islamic banking

3.4.2. Modern Islamic banking

3.5. The Islamic development bank

3.6. Features of Islamic banking governance

4. Mechanisms of Corporate Governance, Banking Governance and Islamic Banking Governance

4.1. Mechanisms of corporate governance

4.1.1. Internal mechanisms

4.1.2. External mechanisms

4.2. Mechanisms of banking governance

4.2.1. Internal mechanisms

4.2.2. External mechanisms

4.3. Mechanisms of Islamic banking governance

4.3.1. Shariah supervisory boards

4.3.2. The Shariah review units

4.3.3. The Islamic Financial Services Board

4.3.4. The Islamic International Rating Agency

PART 2. Banking Performance

5. Performance Measurement

5.1. Performance measurement: definitions

5.2. Performance measurement tools

5.2.1. Classical methods

5.2.2. Modern methods

6. Corporate Governance and Performance

6.1. Ownership structure and performance

6.1.1. CEO ownership

6.2. Board structure and performance

6.2.1. Board size

6.2.2. CEO duality

6.3. Incentive pay and performance

6.4. Legal protection and performance

6.5. Audit committee and performance

PART 3. Banking Risk-Taking

7. Banking Governance and Performance

7.1 Board composition in banking

7.2. Ownership structure

7.3. Incentive pay

7.4. Regulation and supervision

7.5. BCBS

8. Banking Risk Analysis

8.1. Risk exposure for conventional banks

8.1.1. Definition of risk

8.2. Risk exposure for Islamic banks

9. Banking Risk Management.

9.1. Traditional risk management techniques

9.1.1. Asset-liability management

9.1.2. Financial derivatives

9.2. International risk management tools

9.2.1. Basel I

9.2.2. Basel II

9.2.3. Basel III

9.3. Market risk management

9.3.1. Risk-adjusted return on capital

9.3.2. Market VAR

9.3.3. Monte Carlo methods

9.3.4. The beta method

9.4. Credit risk management

9.4.1. Minimizing credit risk

9.4.2. Assessing the default risk

9.4.3. Credit VAR

9.5. Management of operational risk

9.5.1. Qualitative methods

9.5.2. Quantitative methods

9.6. Board responsibilities in risk management

9.7. Manager responsibilities in risk management

9.8. Islamic banking risk management

9.8.1. IFSB principles of credit risk management

9.8.2. IFSB principles of liquidity risk management

9.8.3. FSB principle of market risk management

9.8.4. Operational risk management

10. Corporate Governance and Risk-Taking

10.1. Board of supervisors and risk-taking

10.2. Regulation: supervision and risk-taking

10.3. Ownership and risk-taking

10.4. Audit committee and risk-taking

10.5. Incentive pay and risk-taking

Conclusion

Bibliography

Glossary

Index

Other titles from iSTE in Innovation, Entrepreneurship and Management

EULA.

Notes:

Description based on print version record.

ISBN:

9781119361473

1119361478

9781119361480

1119361486

9781119361466

111936146X

OCLC:

959149904