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“How using derivative instruments and purposes affects performance of Islamic banks? Evidence from CAMELS approach”

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  • Keffala, Mohamed Rochdi

Abstract

The increase of the use of derivative instruments by Islamic banks for different purposes motivate us to conduct this study. This work has twice objective: firstly, to investigate the effect of each derivative instrument (forwards, futures, swaps or options) on the performance of Islamic banks, and secondly to examine the effect of each derivative purpose (hedging or trading) on the performance of Islamic banks.

Suggested Citation

  • Keffala, Mohamed Rochdi, 2021. "“How using derivative instruments and purposes affects performance of Islamic banks? Evidence from CAMELS approach”," Global Finance Journal, Elsevier, vol. 50(C).
    • Handle: RePEc:eee:glofin:v:50:y:2021:i:c:s1044028319301991
    DOI: 10.1016/j.gfj.2020.100520
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    More about this item

    Keywords

    Islamic banking; Derivatives; CAMELS; GMM;
    All these keywords.

    JEL classification:

    • G01 - Financial Economics - - General - - - Financial Crises
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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