A Premier Event on Risk Management in Islamic

Banking and Finance

Risk Management
in Islamic Finance
Practical Approach for Optimum
Understanding on Techniques and Strategies
to Mitigate Risks in Islamic Financial Services

5 - 6 March 2008 Grand Millenium Hotel Kuala Lumpur, MALAYSIA

By attending this event you will learn:

Risk Management Process in Islamic Financial Services
Shariah Compliance Risks in Islamic Financial Services?
Risk Management and Governance in Islamic Financial
Services: An Analysis of IFSB and AAOIFI Standards
Legal Risk in Islamic Banking and Finance
Managing Operational Risk in Islamic Financial Services
Market and Business Risk in Islamic Financial Services
Credit Risk in Islamic Banking and Finance
Managing Liquidity Risk in Islamic Financial Products and
Instruments
Islamic Bank and Hedging Against Interest Rate Risk:
An Analysis
Risk Management Using Islamic Treasury Instruments
Risk Management in Islamic Financial Services: Issues and
Strategies to Mitigate the Risks

www.cert.com.my
 DO NOT MISS THE OPPORTUNITY TO ENHANCE YOUR KNOWLEDGE

About the Event

“In Islamic banking, the requirement to manage risks
becomes more important due to the special nature of Day One: 5 March 2008 (Wed)
the financial intermediation process that is guided by the
Shariah. Islamic financial institutions have a multi-facet 8.30 a.m. : Morning Coffee and Registration
role. On the asset side, Islamic financial institutions
enter into diverse modes of Islamic financial contracts, 8.50 a.m. : Welcome Remarks from the Chair
each with its own peculiar risk characteristics. Basel
II, has to a certain extent, incorporated the identifica- 9.00 a.m. : Risk Management Process in Islamic
tion of credit, market and operational risks that can be Financial Services
assimilated by Islamic financial institutions. However, Definition and overview of risks in Islamic
Islamic financial institutions need to be ahead in explor- financial services
ing other dimensions of risks in these Islamic financial Key elements of risk
contracts. The risk management infrastructure in Is- Risk issues: Conventional vs Islamic
financial Institutions
lamic financial institutions must therefore be in place
Risk assessment & Management process
to identify, unbundle, measure, monitor and control all Role of risk takers/dealers/traders
the specific risks in Islamic financial transactions and Industry players and responsibilities in the
instruments to provide for their effective quantification risk management process
and management. ” (Tan Sri Dato’ Sri Dr Zeti Akthar Basel II and its implication to Islamic
Aziz, Governor of the Central Bank of Malaysia, at financial services
the IFSB interactive session, Bali, 31 March 2004). Features of Basel recommendations
Some prudential indicators for Islamic
financial services industry
The road ahead for Islamic banking and finance
is long and will be full of challenges. More so, in Dr. Syed Musa alHabshi
the current global financial environment character- Principal Consultant
ized by volatile and unpredictable market dynam- Amanie Business Solutions
ics, rapid advancements in technology and financial
innovation, which have all culminated in increas- 10.00 a.m. : Morning Tea Break
ingly more complex and heightened financial risks.
Therefore, CERT (Centre for Research & Training) 10.30 a.m. : Risk Management and Governance in
Islamic Financial Services: An Analysis
takes the honor to organize this premier event to serve
of IFSB and AAOIFI Standards
as the platform for the industry practitioners, regula-
tors, corporate players, academicians, legal practition- Standardization & Shariah divergence
ers and the public at large to share their ideas and AAOIFI and IFSB Standards: An analysis
Shariah standard and Accounting
knowledge in managing the risks for the betterment
standard
and the development of the Islamic financial opera- Risk management Capital Adequacy
tions. The seminar will explore and discuss all the risks Ratio for Islamic banking
involve in Islamic banking and finance operations; be Model and CAR calculation
it operational risk, legal risk, credit risk, liquidity risk
and market risk. The seminar will also highlight the Dr. Syed Musa alHabshi
Shariah perspective on risk in financial operations. Principal Consultant
Amanie Business Solutions
We bring to you some great figures from the industry
12.30 p.m. : Lunch and Networking
practitioners, shariah advisors, academicians and con-
sultancy bodies to share with you their vast knowledge 2.15 p.m. : Legal Risk in Islamic Banking and Finance
and experience. Do not miss this opportunity to be a
Legal and regulatory issues - Risk?
part of the lucky group who will enjoy a lot of benefits
Loopholes & lacunas
and gain as much knowledge as possible by meeting Documentation
and sharing ideas with the leading bankers, financiers, Legal standards?
legal practitioners and academicians. This is an un-
beatable opportunity to establish network and share Mohamed Ismail Mohamed Shariff
experiences with the leaders and peers in the field. Managing Partner
Messrs. Mohamed Ismail & Co.

HURRY! Call us @ 603 41081439

for enquiry and registration Practical approach for opt
IN THIS VALUABLE PROGRAMME IN ISLAMIC FINANCIAL SERVICES

3.30 p.m. : Credit Risk in Islamic Banking and Musa Abdul Malek
Finance Deputy Director, HSBC Amanah Finance
Credit risks in Islamic banking industry Wan Asmadi Wan Ahmad
Credit management risks - overview Head of ICM, Aseambankers
Hassan Scott Odierno
Pedro Garcia
Actuary, Mercer Zainal Consulting
Chief Risk Officer, Asian Finance Bank
12.45 p.m. : Lunch and Networking
4.30 p.m. : Afternoon Tea Break
2.15 p.m. : Reporting of Financial Risk in Islamic
4.45 p.m. : Managing Liquidity Risk in Islamic
Finance: An Islamic Accounting
Financial Products and Instruments
Perspective
Liquidity and risks in Islamic finance
Role of Financial Reporting of Islamic
Assessment and measurement of liquidity
Financial Activities vis-a-vis Risk
risks
Management
Liquidity monitoring
Contractual perspectives on risk in Islamic
Ongoing liquidity in Islamic finance
Funding and Financing contracts
Foreign currency liquidity and Islamic
Impact of Juristic conditions on Financial
financial principles
Reporting Process
Key features of Basel recommendations of
Issues on risks in provisions, reserves and
liquidity management
disclosure requirements Islamic banking
Wan Abd Rahim Kamil
Dr. Syed Musa alHabshi
Advisor, Securities Commission Malaysia
Principal Consultant
Amanie Business Solutions
5.30 p.m. : End of Day One
3.15 p.m. : Risk Calculation Method for Islamic
Day Two: 6 March 2008 (Thu) Financing
Introduction and concept
8.30 a.m. : Morning Coffee Calculation method and techniques

8.50 a.m. : Welcome Remarks from the Chair Dr. Syed Musa alHabshi
Principal Consultant
9.00 a.m. : Islamic Financial Services: Shariah Amanie Business Solutions
Compliance Risks?
4.15 p.m. : Tea break
Shariah perspective on risks
Risk factors in Islamic law
4.30 p.m. : Market and Business Risk in Islamic
Risk issues in financial products and
Financial Services
Instruments
Islamic bank and hedging against interest
Shariah compliance issues
rate risk: An analysis
Mechanism to mitigate risks from Islamic
Shariah issues vs business risk
law views
Market risk management controls
in Islamic banking & ICM operations
Assoc. Prof. Dr. Engku Rabiah Adawiah
Equity investment risk
International Islamic University Malaysia
Forex risk
10.00 a.m. : Morning Tea Break
Dr. Mohd Daud Bakar
President / CEO
10.30 a.m. : Operational Risk in Islamic Financial
International Institute of Islamic Finance
Services
Norfadelizan Abdul Rahman
Performance analysis of Islamic finance
Head, Islamic Capital Market
Overview operational risk in Islamic
financial services Meor Amri Meor Ayob
Some key elements of operational risks in COO, Bond Web Malaysia
banking, ICM and Takaful business
Reputation risk - Fudiciary risk 5.30 p.m. : End of Event

imum understanding on how to mitigate Risk in Islamic Finance

 ABOUT THE SPEAKERS
Who Should Attend Dr. Mohd Daud Bakar is the President/CEO of International Institute of
Islamic Finance (IIIF) Inc. and Amanie Business Solutions Sdn. Bhd. Dr
Mohd Daud is the authority in Islamic Legal theory and Islamic Finance in
Central Bankers and Regulators Malaysia. He is currently the chairman of Shariah Advisory Council of the
Board of Directors Central Bank of Malaysia. He is also a member of Shari`ah board of
Securities Commission of Malaysia, Accounting and Auditing Organization
cers for Islamic Financial Institutions (AAOIFI) (Bahrain), International Islamic
Financial Market (IIFM) (Bahrain), Dow Jones Islamic Market Index (New
Senior Managers of Islamic banking York), Oasis Asset Management (Cape Town, South Africa), Unicorn
Senior Managers of Takaful and Insurance Investment Bank (Bahrain), Financial Guidance (USA), BNP Paribas and in other financial
institutions both local and abroad. Apart from that, Dr Mohd Daud is also actively advising in
Senior Financial/Auditor capital market product structuring such as Sukuks both local and abroad.
Chief of Risk Dr. Engku Rabiah Adawiah Engku Ali is currently an Associate Professor
Risk Management Manager at Ahmad Ibrahim Kulliyyah of Laws, International Islamic University
Malaysia (IIUM). She was conferred with PhD in Law (Securities Regulation)
Fund Managers from the University of Aberdeen, United Kingdom. She also serves as a
Corporate Treasurers consultant to several financial institutions and legal firms. Currently, she is a
member of the Syariah Advisory Council (SAC) of Bank Negara Malaysia,
Financial Controllers and an independent Shariah advisor for Islamic securities issuance,
approved by and registered with the Malaysian Securities Commission. In
Finance and Account Managers addition, she is also a member of the investigation tribunal for the Malaysian
Fund Managers and Remisiers Bar Council.

Accountants and Auditors Dr. Syed Musa is a principal consultant of Amanie Business Soultiuons and
a former Dean of Faculty of Business Administration, University Tun Abd
cers Razak (UNITAR). He completed DBA (Accounting & Finance) from
Academicians and Researchers University of Strathclyde, U.K. He was a former member of the Accounting
and Auditing Standards Board of Accounting, Auditing, Organization of
Islamic Financial Consultant Islamic Financial Institutions (AAIOFI) in Bahrain and is directly involved in
Shariah Advisor the standard setting process of Accounting, Auditing and Governance
Standards for Islamic Financial Institutions. In Malaysia he is currently
Corporate Lawyer involved in the development of Malaysian Accounting Standards Board
(MASB) standards particularly for Islamic financial and banking activities.
Other interested parties
Hassan Scott Odierno FSA, Bsc. is a Consultant/Actuary of Mercer Zainal
Consulting. He is a qualified actuary from the United States. He has been
By Completing The Event You Will: involved in actuarial work for Bank Al-Jazira in Saudi Arabia, Takaful
Nasional, Takaful Malaysia, Mayban Takaful and Takaful Ikhlas in Malaysia
and Asean Retakaful (ARIL) in Labuan. Hassan has performed feasibility
Understand the framework and structure of studies for the entry into Takaful for an American Multinational Insurer as
well as a local Malaysian company. Hassan has been active in conventional
Islamic Financial Services insurance as well, being the Appointed Actuary for Allianz and Hannover Re
in Malaysia, as well as several insurers in Hong Kong. He has been actively
involved in mergers and acquisitions work in Malaysia and Taiwan, as well as Risk Based Capital
Acquire the knowledge on risk in Islamic Financial (RBC) developments in Malaysia and Singapore.
Services Mohamed Ismail Mohamed Shariff has been in private legal practice since
1970 and is presently the principal partner of the law firm, Mohamed Ismail
Identify types of risk in Islamic Finance & Co. He has been involved in Islamic banking since its introduction in
Malaysia in 1983. Mohamed Ismail is the only lawyer to have practised
Islamic banking in all its various aspects, namely as solicitor, counsel (he
Identify the criteria and principles in mitigating was leading counsel in cases on Islamic banking that went up on appeal to
the Court of Appeal and the former Supreme Court), paper writer and
nancial products and presenter at seminars and conferences, author of articles in learned
instrument journals, both local and international, member of steering committee/working
groups on Islamic banking, advisor to other legal firms.

Examine several Shariah and legal risks in
documentation and structuring Islamic
nancial services - banking, securities and
Takaful
Explore and update current issues on
nancial services
Review and update the challenges of risk in Islamic
Finance
IN HOUSE TRAINING
Similar programme can be customised to the needs
nding more on our
unique range of successful in-house
programme, please do not hesitate to call us at:
(603) 41081439/9012 or e.mail at
info@cert.com.my (http://www.cert.com.my)
CALL us at Tel: 603 41081439
or Fax: 603 41061549
Wan Abdul Rahim Kamil is currently the Islamic Capital Market Advisor for
Securities Commission Malaysia. He was the Managing Director/CEO of
Abrar Discounts Berhad and he has been involved in the Islamic banking and
finance industry since the early 1980s. He is widely credited for the
successful development of several Islamic financial products that are,
currently, widely adopted in the Malaysian debt capital market. He is also
actively involved in speaking and providing lectures at seminars and
conferences, both domestically and internationally.
Pedro Garcia is currently the Chief Risk Officer, Asian Finance Bank. He had more than 18 years
in finance that includes : as Swiss Banker and dep. Treasurer of Asia Pacific. 10 years in
Asia/Pacific, 6 years in Malaysia. Basel II architect of banks in Malaysia, Singapore and Thailand.
Risk Management advisor to banks in Japan, Korea, India, Indonesia and Hong Kong. Leader of
regional Financial Risk Management Team within PricewaterhouseCoopers, Malaysia, Singapore
and Thailand. Former Secretary and founding member of Swiss Malaysian Business Association,
Kuala Lumpur. Speaker at the Islamic Financial Services Board (IFSB), Institut Bank Bank
Malaysia (IBBM), Asian Development Bank (ADB), Japanese Chamber of Commerce, Swiss
Government Institute for Financial Development etc.
Meor Amri Meor Ayob is currently a COO of Bond Web Malaysia. He was a Senior Manager /
Head of Department for the Financial Institution Ratings Group. Prior to this posting, Meor was the
Head of Department for the Islamic Debt and Transportation Ratings Group. Since joining RAM in
1994, Meor has rated companies in the banking, leasing, insurance, infrastructure, toll road,
manufacturing, petroleum, trading, computer services, plantation and property sectors. Before
joining RAM, Meor was attached to the Actuarial Unit of the Insurance Regulation Department in
Bank Negara Malaysia for two years.
Hurry! Don’t delay. The space is
limited. Participation is based on
“First Come First Served”
Registration Form
2-Day Course on
Risk Management in Islamic
Finance
5 - 6 March 2008
Grand Millenium Hotel Kuala Lumpur
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Event Fee
Your investment for attending this event is:
Early Bird Fee : (Payment by 15 February 2008)
- RM2,300 per person
Regular Fee : (Payment after 15 Febraury 2008)
- RM2,500 per person
The fee includes lunch, refreshments, event documentation
cate of attendance
How to Pay
Event fees must be paid before commencement of
the programme.
All cheques should be crossed and made payable to
“Cert Events Sdn. Bhd.”
After receiving payment a receipt will be issued. If you do
not receive a letter outlining joining details two weeks prior
to the event please contact the event coordinator at CERT.
Special Group Discount
Discount of 10% for 2 participants from the same
organisation.
Discount of 15% for 3 or more participants from the
same organisation.
.
Cancellations
If you are unable to attend, a substitute is welcome at no
extra cost. A complete set of event documentation and
a 50% refund will be given for cancellation received in
writing not later than 2 weeks prior to the event date.
Unfortunately, only a 25% refund and documentation
event will be given for cancellation received within 2
weeks before programme commencement.
We reserve the right to reschedule the event due to
circumstances beyond our control
Hotel Accommodation
Hotel is not included in the event fee. To reserve
accommodation at the event venue, please contact hotel
address below:
Grand Millennium Kuala Lumpur
160 Jalan Bukit Bintang
55100 Kuala Lumpur, Malaysia
Tel: +603 2177 2888
Fax: +603 2142 1441
Attn: Ms Sarimah (Sales Executive)
Incorrect Mailing Address
If you have received multiple mailings of this brochure or
incorrect company details on the address, please accept
our apologies. If this occurs, kindly notify us so that we
can update our database.
The organiser reserves the right to cancel/amend the
programme in extreme circumstances. Should this
occur, they will endeavour to advise delegates at the earliest
opportunity but take no responsibility for any
irrecoverable costs on the part of the delegates, eg. air
fares, hotel costs. Obviously, attendance fees would, in such
circumstances, be fully refundable at the delegate’s option.