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Sukuk Structuring, Risk and Syndication

SIDC CPE-approved: 10 CPE Points

Date: 9th & 10th September 2024
Venue: DoubleTree by Hilton Kuala Lumpur

Classroom Training

COURSE INTRODUCTION

The Sukuk market has evolved significantly in the last 25 years. New and exciting structures have emerged to address the economic and financial interests of both Sukuk originators as well as Sukuk investors. Furthermore, increasingly advanced methods are being used to raise Sukuk capital for issuers, most notably, deal syndication, which is growing in popularity.

However, a tension continues to exist between the interests of originators and those of investors concerning the application of Shariah principles. To satisfy market demand, many Sukuk instruments are structured to provide cash returns resembling conventional products. Some financial obligations within these structures may not only compromise a stricter application of Shariah principles, but impact Sukuk risks in ways that are generally less well understood.

This course provides delegates with an invaluable opportunity to understand how Sukuk products are structured, how risks arise in Sukuk, and how Sukuk are syndicated. Delegates will also learn how, and why, Sukuk are viewed differently by various important stakeholders in the Sukuk market, for example ratings analysts, investors, and origination teams.

The course will include a high level of interactive discussion, analysis of case studies, and thorough instruction in the treatment of Sukuk for structuring, risk management and syndication purposes. Knowledge gained from the course is directly applicable in practice.

  • Key Highlights:
    • Understand the essentials of Sukuk structuring principles
    • Assess how Sukuk structuring principles are applied using real-life case studies
    • Understand how risks arise in Sukuk and how these risks are mitigated in practice
    • Learn how Sukuk are syndicated

Fee

Fee per participant: RM5,900/US$1,950

Please note that the Ringgit price is applicable to Malaysia-domiciled participants only. Discounts are available for group bookings. Please contact us for more details.

In-house/group training

If you are looking for an in-house training program or wish to send a group to an existing public program, kindly please contact Andrew Tebbutt at [email protected] or +603 2162 7802.
Learn More

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Send me Details

For enquiries please contact:

Normariya Sariman
Account Manager, REDmoney Seminars
[email protected]
Direct Line: +603 2162 7800 ext 44

Ramesh Kalimuthu
Events Sales Director
[email protected]
Direct Line: +603 2162 7800 ext 65
Fax: +603 2162 7810

For sponsorship & speaking opportunities:

Andrew Tebbutt

Managing Director
[email protected]
Direct Line: +603 2162 7802

For marketing and media enquiries

Govina Selvanthran

Marketing Manager
[email protected]
Direct Line: +603 2162 7800 ext 22

seminar logo

Sukuk Structuring, Risk and Syndication

SIDC CPE-approved: 10 CPE Points

Date: 9th & 10th September 2024
Venue: DoubleTree by Hilton Kuala Lumpur

Classroom Training

Send me Details

COURSE INTRODUCTION

The Sukuk market has evolved significantly in the last 25 years. New and exciting structures have emerged to address the economic and financial interests of both Sukuk originators as well as Sukuk investors. Furthermore, increasingly advanced methods are being used to raise Sukuk capital for issuers, most notably, deal syndication, which is growing in popularity.

However, a tension continues to exist between the interests of originators and those of investors concerning the application of Shariah principles. To satisfy market demand, many Sukuk instruments are structured to provide cash returns resembling conventional products. Some financial obligations within these structures may not only compromise a stricter application of Shariah principles, but impact Sukuk risks in ways that are generally less well understood.

This course provides delegates with an invaluable opportunity to understand how Sukuk products are structured, how risks arise in Sukuk, and how Sukuk are syndicated. Delegates will also learn how, and why, Sukuk are viewed differently by various important stakeholders in the Sukuk market, for example ratings analysts, investors, and origination teams.

The course will include a high level of interactive discussion, analysis of case studies, and thorough instruction in the treatment of Sukuk for structuring, risk management and syndication purposes. Knowledge gained from the course is directly applicable in practice.

  • Key Highlights:
    • Understand the essentials of Sukuk structuring principles
    • Assess how Sukuk structuring principles are applied using real-life case studies
    • Understand how risks arise in Sukuk and how these risks are mitigated in practice
    • Learn how Sukuk are syndicated

Fee

Fee per participant: RM5,900/US$1,950

Please note that the Ringgit price is applicable to Malaysia-domiciled participants only. Discounts are available for group bookings. Please contact us for more details.

In-house/group training

If you are looking for an in-house training program or wish to send a group to an existing public program, kindly please contact Andrew Tebbutt at [email protected] or +603 2162 7802.
Learn More

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AGENDA

  • Day 1
  • Day 2

Day 1

Structuring, Origination and Risk Management
Overview of Sukuk
  • What Sukuk are and what Sukuk are not
  • How are Sukuk different to conventional bonds?
  • Can Sukuk be traded? If so, what are the Shariah requirements?
  • Are Sukuk on- or off-balance sheet?
    • Asset-backed Sukuk
    • Asset-based Sukuk
Sukuk Origination
  • Securitization process based on type of underlying financial instrument
  • Fair valuation of Sukuk in the context of market demand and supply
  • Portfolio selection: how to choose underlying assets
    • Investor demand
    • De-risking the originator’s balance sheet
    • Tradability requirements
Sukuk Structuring
  • Performance enhancements
    • Irrevocable commitment to repurchase at maturity
    • Liquidity facility
    • Third party guarantees
  • Flexibility
    • Embedded call and put options
    • Rate resets and break clauses
  • Risk reduction
    • Excess Spread
    • Over-collateralization and tranching
    • Role of Takaful
  • Pre-funding of Sukuk coupons
Case Studies:

Several real-life examples of Sukuk will be used to explain how the structuring concepts related to performance enhancement, flexibility, and risk reduction are applied to actual Sukuk issuances.

Sukuk Risk Management
Risks Arising in Sukuk: Investor
  • Murabahah Sukuk
  • Salam Sukuk
  • Ijarah Sukuk
  • Istisnah Sukuk
  • Mudarabah Sukuk
  • Musharakah Sukuk

Day 2

Risk Management and Syndication
Risks arising in Sukuk: Originator
  • Market liquidity risk in traded Sukuk
  • Funding liquidity risk and MTN programs which use Sukuk for Balance Sheet funding
  • Liquidity facility: is it necessary?
Other types of risks in Sukuk
  • Shariah non-compliance risk
  • Accounting and de-recognition risks
  • Operational risk
  • Project completion risk
  • Business risk
Capital Charges for Sukuk Instruments
Overview of Sukuk Syndication
  • Performance enhancements
  • What is syndication and what is its purpose?
  • What is the process of syndication?
  • What are the motivations of syndicate members?
    • Access to capital
    • Balance sheet management
    • Fee income generation
  • What are the risks involved in syndication?
  • Why is the syndication of Sukuk issuances growing in popularity?
Sukuk Syndication Transaction Structures
  • Role of the Lead Arranger prior to disbursement of funds
  • Key functions of the Lead Arranger
    • Appointing other banks to participate in the syndicate
    • Carrying out due diligence on the issuer
    • Sukuk structuring: matching the issuer’s requirements to investors’ risk appetite
  • Role of the agent bank after the disbursement of funds
  • Types of deals: Underwritten versus “Best efforts”
Syndication Documentation
  • Important considerations: accuracy; consistency; legal enforceability
  • Key documents:
    • Mandate letter
    • Inter-creditor agreement
    • Information memorandum
    • Covenants
Case Studies:

Several real-life deal examples will be used to illustrate and further explain how Sukuk are syndicated in practice.

EXPERT COURSE DIRECTOR


Dr Ken Baldwin 
Former Director, Financial Policies and Planning, Islamic Development Bank

Dr. Ken Baldwin has worked as a practitioner in banking and finance for over 25 years in senior positions spanning the front and middle offices. Having graduated from Oxford University with a first-class honors degree in Physics in 1989, he qualified as a Chartered Accountant with PWC, before joining UBS, and then later Credit Suisse, in derivatives risk and control functions based in London.

He gained a PhD in microeconomics and worked in the GCC for 15 years in retail and investment banks. Whilst at Abu Dhabi Islamic Bank, Dr. Ken built an ALM analytic technology platform capable of capturing liquidity and interest rate risks inherent in the many varied financing products used at retail and corporate levels. He then moved to take up the position of MENA Regional Head of Quantitative Analysis for Citigroup. At Citicorp, Dr. Ken worked on structuring complex derivatives products used by Gulf-regional corporations to hedge FX and interest rate risks. Still residing in Bahrain, Dr. Ken then joined Investcorp, where he worked on the risk due diligence of corporate private equity and real estate private equity transactions and portfolio management. After leaving Investcorp, he set up the risk management department for venture capital bank, providing Basel III compliance and deal analysis for the bank. He then operationalized a new Islamic investment bank as its Chief Operating Officer for 3 years, before his most recent industry role at the Islamic Development Bank, where he set up and ran a new department tasked with developing financial policies and risk-based pricing of the bank’s Islamic financing products. Dr. Ken is currently an Assistant Professor of Finance in the UK. He has published quantitative finance articles in peer-reviewed academic journals including the Journal of International Financial Markets Institutions and Money, and the Journal of Risk, and during his earlier career, taught CFA and FRM professional certifications as a pastime for the Bahrain Institute of Banking and Finance.

Who Should Attend?

  • This course is designed to be of most benefit to:
    • Chief financial officers, heads of finance and finance officers
    • Chief risk officers, risk managers, and risk analysts
    • Treasurers and treasury managers
    • Compliance and audit professionals
    • Capital market transaction origination and structuring teams
    • Fixed income portfolio and other fund managers
    • Ratings agency analysts
    • Regulators

For enquiries please contact:

Normariya Sariman
Account Manager, REDmoney Seminars
[email protected]
Direct Line: +603 2162 7800 ext 44

Ramesh Kalimuthu
Events Sales Director
[email protected]
Direct Line: +603 2162 7800 ext 65
Fax: +603 2162 7810

For sponsorship & speaking opportunities:

Andrew Tebbutt

Managing Director
[email protected]
Direct Line: +603 2162 7802

For marketing and media enquiries

Govina Selvanthran

Marketing Manager
[email protected]
Direct Line: +603 2162 7800 ext 22

About Us

REDmoney Events designs, organizes and hosts industry-leading conferences, forums, roadshows and seminars focusing on the Islamic financial markets across a global, regional and national level.

+603 2162 7800
[email protected]

Our Publications

  • Islamic Finance news
  • IFN Investor
  • IFN Sustainable
  • IFN Fintech

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Islamic Finance News

@ifn_news ·
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We are pleased to welcome Suleman Muhammad, Head of Islamic Products and Segments, NBO Muzn Islamic Banking to the speaker line-up for the #IFNOmanForum2026, taking place in Grand Hyatt Muscat on 14th September 2026.

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Islamic Finance News

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Islamic Finance News

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Central bank proposes lighter Sukuk rules, temporary incentives to build Philippine market

Read our full daily cover story here: https://www.islamicfinancenews.com/central-bank-proposes-lighter-sukuk-rules-temporary-incentives-to-build-philippine-market.html

LATEST POSTS

September has got off to a strong start for dollar September has got off to a strong start for dollar-denominated Sukuk, with issuance in the first week already matching the combined total raised in July and August.

Four benchmark Sukuk have been printed so far this month: the Islamic Development Bank (IsDB)’s US$1.5 billion offering, its second in 2026; Arab National Bank’s US$750 million Additional Tier 1 Sukuk; Kuwait International Bank’s (KIB) unsecured US$500 million paper; and the Saudi government’s US$3.25 billion Sukuk. The dollar pipeline is looking promising with alrajhi bank preparing to tap the market with a Tier 2 social Sukuk.

The Saudi government issuance is notable given that Fitch Ratings had said in July that it was not anticipating any new public external US dollar sovereign Sukuk in the second half of 2026, after Saudi Arabia concluded its funding plan. Malaysia’s US$1.5 billion return to the dollar Sukuk market in July was similarly notable, coming after a five-year hiatus.

Read our full daily cover story here: https://www.islamicfinancenews.com/dollar-sukuk-shrugs-off-market-volatility-with-promising-september-start.html
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The IFN Service Providers Poll 2026 is officially open, and we want to hear from you. 

🗝11 categories 
🗝Global participation 
🗝One opportunity to recognise the organisations shaping the Islamic finance industry 

Voting closes 30 September 2026: https://awards.islamicfinancenews.com/vote/ifn-service-providers-poll-2026 

Make your voice count. Vote today. 

#IFNServiceProvidersPoll2026 #IFNAwards2026
The IFN Law Awards 2026 is now open for submission The IFN Law Awards 2026 is now open for submissions. 

We are once again recognising the law firms, legal teams and practitioners who have played a leading role in shaping and facilitating Islamic finance transactions over the past year.

If your firm has been involved in a landmark Islamic finance transaction between 1 July 2025 and 30 June 2026, we invite you to put your work forward for recognition. 

Submissions: 1 September – 2 October 2026 

Submit your entry and showcase your contribution to the continued development of the Islamic finance industry: https://www.islamicfinancenews.com/ifn-law-awards 

#IFNLawAwards2026 #IFNAwards2026
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FREE registrations now open: https://redmoneyevents.com/event/ifnme2026/

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We are pleased to welcome Salah Al Aradi, Head of We are pleased to welcome Salah Al Aradi, Head of Treasury - TIBIG & Member, Treasurers Committee - Oman Banks Association to the speaker line-up for the IFN Oman Forum 2026, taking place in Grand Hyatt Muscat on 14th September 2026.

FREE registrations now open: https://redmoneyevents.com/event/ifnoman2026/

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