Historical evidence demonstrates the enormous role waqf institutions have played in the development and advancement of Muslims throughout the Muslim history. With the proper structure and strategy, waqf contributes to numerous spheres of life, including mainstream economic development. Contemporary development of Islamic finance has enabled the waqf concept to be linked to various financial products, including Shariah-compliant investment instruments, such as, Islamic unit trust funds and Islamic wholesale funds. This paper aims to highlight the current applications of the Waqf-Featured Fund (WFF) in the Malaysia Islamic Fund Management Industry. This is in relation to the launch of a new WFF framework to facilitate the offering of Islamic funds with waqf characteristics. The study took both qualitative via in-depth semi-structured interviews with eleven (11) WFF stakeholders, as well as, analyzing of policy documents, journal articles, books, and online resources. The findings shed light on the current issues and challenges confronting waqf projects in Malaysia, as well as the current guidelines and essential requirements for the WFF, the current application of the WFF in the Malaysian Islamic Fund Management (IFM) industry and a proposal for the future application model, which includes fund collection, investment structure, distribution process, and fund reporting.

Ar-Rahnu is a concept of pawnbroking that based on the principles of Sharī‘ah. Contrary to conventional pawnbroking (PGK) practices, Ar-Rahnu emphasizes pawnbroking practices free of prohibited elements by Sharī‘ah, such as ribā and gharar. Based on the current situation in Malaysia, this study was written to address critical issues related to the practice of Ar-Rahnu, the provided solutions from the aspects of Fiqhī discussion, and the relevance of the existing legislation in Malaysia. This study was written in addition to the existing literature relating to Ar-Rahnu, which is still relatively scarce. Using qualitative, comparative analysis methods and observation from the practices in the industry, this research found that Ar-Rahnu can still be practiced in Malaysia even without specific laws. The method of harmonization between civil and Sharī‘ah laws is still needed to appreciate of Ar-Rahnu’s practices in order to ensure the effectiveness of this practice among the members of the society.

This paper aims to present the viability of unit trust waqf as an alternative asset class for waqf creation. The paper provides the conceptual framework of unit trust waqf based on the existing fixed unit trusts structure managed under Permodalan Nasional Berhad (PNB). This paper starts with the conceptual exploration of the literature in the area of waqf, which are sourced from authentic sources of al-Quran and al-Hadith, as well as secondary sources such as books, journal articles and online resources. The novelty of this paper lies in its attempt to highlight the importance of waqf investment strategy in ensuring the perpetuity of waqf by preserving its capital to maintain sustainable return for waqf beneficiaries. PNB’s fixed unit trust structure has been identified as a viable conceptual model for unit trust waqf to pool more cash waqf from individual investors. The sustainability of the capital waqf assets in the form of unit trust is preserved through the parameters for its application as proposed toward the end of the paper.

With the appropriate structure and strategy, waqf can support many spheres of life, including the growth of the mainstream economy. The historical evidence has demonstrated the enormous contribution of waqf institutions to the advancement of the Muslim community. The waqf concept has been integrated into a variety of financial assets, including Shariah-compliant investment vehicles like unit trusts, as Islamic finance has developed in modern times. This paper aims to highlight the recent development of waqf-linked unit trust funds within the Malaysian context. The current study employed a qualitative research approach, which was designed through the use of document analysis of policy documents, journal articles, books, and online resources. The paper concludes that the waqf-linked unit trust fund, which upholds strong governance and a robust investment framework can contribute to the sustainable development of the Islamic community’s socio-economy. Waqf managers are urged to fully embrace the digital agenda in tandem with the Financial Sector Blueprint 2022-2026 in order to enable a digitalised ecosystem and fintech inclusion in managing waqf funds. This will improve the effectiveness of good governance and integrity in the waqf sector.

Harnessing a sustainable model of waqf remains as the key challenge faced by waqf managers particularly in the mid of socio-economic crisis due to COVID-19 pandemic. This paper aims to present the viability of unit trust waqf as an alternative asset for waqf creation. This study employed a qualitative research designed through the use of document analysis of classical Islamic books, Islamic ruling (fatwa), journal articles, books, online resources, and policy documents. The novelty of this paper lies in its attempt to highlight the importance of waqf investment strategy in ensuring sustainable returns for waqf particularly during this difficult time in reducing the socioeconomic impact of COVID-19 catastrophe, by introducing conceptual model of unit trust waqf as potential mechanisms to pool more cash waqf from individual investors. This paper submitted that waqf plays a significant role as global financial cure for economic revival post COVID-19. The sustainability of the capital waqf assets in the form of unit trust is preserved through the distinctive fixed price feature of the unit trust waqf as proposed toward the end of the paper.

Harnessing a sustainable waqf model remains as the key challenge faced by waqf managers particularly in the mid of socio-economic crisis post-COVID-19 pandemic. This paper aims to present the viability of unit trust waqf as an alternative asset for waqf creation. This study employed a qualitative research design using document analysis of classical Islamic books, Islamic ruling (fatwa), journal articles, books, online and policy documents. The novelty of this paper lies in its attempt to highlight the importance of waqf investment strategy in ensuring sustainable returns for waqf particularly during this difficult time in reducing the socioeconomic impact of COVID-19 catastrophe, by introducing conceptual model of unit trust waqf as potential mechanisms to pool more cash waqf from individual investors. This paper submitted that waqf plays a significant role as a global financial cure for economic revival post COVID-19. The sustainability of the capital waqf assets in the form of unit trust is preserved through the distinctive fixed price feature of the unit trust waqf as proposed toward the end of the paper.

Waqf institutions have contributed significantly towards the advancement of ummah during the golden era of Islamic civilization. In line with rapid development of Islamic financial system throughout the world, unit trust has been identified as one of the financial instruments to have potential as waqf asset. Such approach is also supported by an efficient and professional manner in managing waqf assets. However, the concept of unit trust waqf is stil at an infancy stage that requires further in-depth study on its mechanism and implementation. This study conducts a review of literature with respect to the current fatawa (Islamic legal rulings) pertaining to unit trust waqf. The main objective of this study was achieved through content analysis of the classical and contemporary books as well as fatawa associated to financial instruments including unit trusts. The finding is expected to pave the way in generating some insight to waqf managers, regulators and fund managers in establishing a dynamic and viable unit trust waqf to be implemented in Malaysia. Keywords: Waqf, Unit Trusts, Fatwa, Islamic, Financial

The waqf concept has been integrated into a variety of financial assets, including Shariah-compliant investment vehicles like unit trusts. With the appropriate structure and strategy, waqf can support many spheres of life, including the growth of the mainstream economy. This paper aims to highlight the recent development of waqf-linked unit trust funds within the Malaysian context and identify the underlying governance principle for waqf. The current study employed a qualitative research approach through document analysis of previous literature. The paper concludes that the waqf unit trust fund, which upholds strong governance of accountability and transparency as well as backed by the stakeholder theory may contribute to advancing the social and economic well-being of the ummah.