The ins and outs of Islamic investment

special report: the gulf and hedge funds

Modern Islamic finance is just 30 years old. Despite its relative youth, the sector has seen rapid and accelerating growth, increasing from $10m in 1975 to more than $250bn under management with dedicated Islamic banks, together with another $200bn with units of conventional financial institutions.

This expansion has attracted the interest not only of conventional bankers and borrowers, but increasingly investment fund structurers and promoters. Western investment management firms are working