Takaful Investment Portfolios: A Study of the Composition of Takaful Funds in the GCC and Malaysia

Chapter 7

Contextualising the Findings

After presenting the results of this research in the previous two chapters, this chapter aims to discuss and contextualise the analysis of the empirical results through an interpretative method, thereby giving further meaning to the results. The findings of the two study objectives were analysed together by linking the empirical findings from the previous two chapters. However, in the interpretation of the empirical findings, the analysis of the interviews conducted for this study was also consulted. It may be worth reminding the reader again that the actual compositions for the year 2005 in this chapter and in Chapter 5 are not equal due to the absence of three takaful operating companies in the actual composition data.

OVERALL PORTFOLIO COMPOSITIONS

This section aims to reflect on the findings on the overall portfolio compositions in the previous empirical chapters with the objective of providing further meaning to the results in an interpretative manner.

Shareholders’ Fund

Over the entire period of the study, the takaful operating companies in the GCC dominated the contribution to the total shareholders’ fund investment portfolio compared to those companies in Malaysia whereby the shareholders’ investment portfolio of the GCC exceeded Malaysia by an average of 3.17 times. A dramatic dominance took place in 2005 in which the investment of GCC companies accounted for almost 85.8% of the total shareholders’ investment portfolio or exceeded ...