[go: up one dir, main page]
More Web Proxy on the site http://driver.im/
Skip to main content
Springer Nature Link
Log in

Modeling and Forecasting Mudharabah Investment with Risk by Using Geometric Brownian Motion

  • Conference paper
  • First Online:
Soft Computing in Data Science (SCDS 2016)

Part of the book series: Communications in Computer and Information Science ((CCIS,volume 652))

Included in the following conference series:

  • 807 Accesses

Abstract

This study developed mudharabah investment with risk model by considering the rate of return as a total of deterministic profit rate and a function of white noise that is geometric Brownian motion. The result shows that the investment is considered as accurately forecast when using this developed model. The profit from mudharabah investment is compared with single party investment. The result obtained shows that the profit difference between mudharabah investment and single party investment is very small. It is verified that the developed model can be used in forecasting the investment and profit for two parties.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution

Subscribe and save

Springer+ Basic
£29.99 /Month
  • Get 10 units per month
  • Download Article/Chapter or eBook
  • 1 Unit = 1 Article or 1 Chapter
  • Cancel anytime
Subscribe now

Buy Now

Chapter
GBP 19.95
Price includes VAT (United Kingdom)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
GBP 35.99
Price includes VAT (United Kingdom)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
GBP 44.99
Price includes VAT (United Kingdom)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Similar content being viewed by others

References

  1. Aslina, O.: A Stochastic Mudharabah Model for Investment in Bursa Malaysia Syariah Counters. Master Thesis, Universiti Teknologi Mara (2013)

    Google Scholar 

  2. Azizah, M: Modeling Risky Investment By Considering Geometric Brownian Motion Using Musyarakah Concept. Master Thesis, Universiti Teknologi Mara (2014)

    Google Scholar 

  3. Faleel, J.: Islamic Finance for Dummies. John Wiley & Sons Inc., USA (2012)

    Google Scholar 

  4. Hyndman, R.J.: Measuring Forecast Accuracy, from http://robjhyndman.com

  5. Lawrence, K.D., Kllimberg, R.K., Lawrence, S.M.: Fundamental of Forecasting Using Excel. Industrial Press Inc., USA (2009)

    Google Scholar 

  6. Maheran, M.J.: Model Pelaburan Musyarakah dan Mutanaqisah, Ph.D. thesis, Universiti Kebangsaan Malaysia (2006)

    Google Scholar 

  7. Maheran, M.J.: New musharakah model in managing Islamic investment. ISRA Int. J. Islamic Finan. 2(2), 25–36 (2010)

    Google Scholar 

  8. Mohamed, A.E.: Towards an Islamic stock market. Islamic Econ. Stud. 1(1), 1–20 (1993)

    Google Scholar 

  9. Muhammad, N.S.: Banking without interest. J. Res. Islamic Econ. 1(2), 85–90 (1983)

    Google Scholar 

  10. Wilmott, P.: Introduces Quantitative Finance. John Wiley and Son Ltd., England (2007)

    MATH  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of Mathematics, Faculty of Computer and Mathematical Sciences, University Teknologi Mara, 40450, Shah Alam, Selangor Darul Ehsan, Malaysia

    Nurizzati Azhari & Maheran Mohd Jaffar

Authors
  1. Nurizzati Azhari
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Maheran Mohd Jaffar
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Maheran Mohd Jaffar .

Editor information

Editors and Affiliations

  1. University of Tennessee, Knoxville, Tennessee, USA

    Michael W. Berry

  2. Universiti Teknologi MARA, Shah Alam, Malaysia

    Azlinah Hj. Mohamed

  3. Faculty of Computer and Mathematical Sciences, Universiti Teknologi MARA, Shah Alam, Malaysia

    Bee Wah Yap

Rights and permissions

Reprints and permissions

Copyright information

© 2016 Springer Nature Singapore Pte Ltd.

About this paper

Cite this paper

Azhari, N., Jaffar, M.M. (2016). Modeling and Forecasting Mudharabah Investment with Risk by Using Geometric Brownian Motion. In: Berry, M., Hj. Mohamed, A., Yap, B. (eds) Soft Computing in Data Science. SCDS 2016. Communications in Computer and Information Science, vol 652. Springer, Singapore. https://doi.org/10.1007/978-981-10-2777-2_17

Download citation

  • DOI: https://doi.org/10.1007/978-981-10-2777-2_17

  • Published:

  • Publisher Name: Springer, Singapore

  • Print ISBN: 978-981-10-2776-5

  • Online ISBN: 978-981-10-2777-2

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics

Search

Navigation