Sukuk on the Socially Responsible Investments Market

Abstract

The aim of the chapter is to examine to what extent investment funds implementing the strategy of socially responsible investing engage their funds in the assets of the Islamic financial market. Particular interest was focused on the sukuk— the most known Islamic capital market instruments. Research was conducted by way of applying critical analysis to the literature of the subject. The study yielded results indicating a total lack of sukuk in the portfolios of leading mutual SRI funds. The reason of this phenomenon may be the perception of sukuk as instruments not conforming to the idea of responsible finance, but narrowly related to Islamic ethics.