Celebrating Success: Dr Muhammad Tahir

Congratulations to Dr Muhammad Tahir on the recent publication of his article: “The performance of Shariah-compliant companies during and after the recession period – evidence from companies listed on the FTSE All World Index“.

Abstract

The study investigates the relative performance of Shariah-compliant companies (SCCs) compared to conventional companies. It focuses on two periods, the recession period of 2007-2010 and the recovery period of 2011-2014. It is found that SCCs outperformed non-Shariah compliant companies, in terms of both accounting and market returns during both periods. It is also found that size has a negative effect on performance during both periods. The degree of risk, leverage and growth has no significance in either period, but cash flow from operations has a positive effect on performance in both. In contrast to previous research carried out on indices, this study uses data from individual companies listed on the FTSE All World Index. It provides insight into the way Shariah ethics can influence performance and suggests that some of the features could be useful if adopted by conventional companies.

Citation

Tahir, M. and Ibrahim, S. (2020), “The performance of Shariah-compliant companies during and after the recession period – evidence from companies listed on the FTSE All World Index”, Journal of Islamic Accounting and Business Research, Vol. 11 No. 3, pp. 573-587. https://doi.org/10.1108/JIABR-07-2016-0082