Islamic window
The part of a conventional institution, such as a branch or unit, that provides Islamic financial services.
An Islamic window is the part of a conventional financial institution, which may be a branch or a dedicated unit, that provides Islamic financial services, according to IFSB-31. Because it sits inside a conventional entity, regulators focus on segregating its funds, accounts and governance from the host's conventional business. AAOIFI has an accounting standard on financial reporting for Islamic finance windows.
Sources
This entry explains a term; it is not a Shariah ruling. Approving a product is for each institution's own Shariah board and regulator.
Related terms
Institutions offering Islamic financial services (IIFS)The IFSB's umbrella term for Islamic banks, takaful institutions, Islamic windows and other Islamic financial institutions.Shariah governance systemThe institutional arrangements through which an institution ensures independent oversight of its Shariah compliance.Investment poolA group of assets funded by identified sources, such as shareholders or investment account holders, whose income is allocated to them.