The Performance of Islamic Unit Trust Funds in Malaysia

Abstract

The main purpose of this study is to determine the performance analysis on Islamic unit trust funds in Malaysia by comparing with Conventional unit trust funds. There are two factors that will influence the performance of Islamic Unit Trust funds which are risk and return. The performance of both funds will be evaluated based on standard performance measures known as Adjusted Sharpe Indices. As to conduct the study, the collected data were from January 2002 to December 2012 by using quarterly basis which retrieve from secondary data of Islamic and Conventional Unit Trust funds. In order to examine the influences of risk and return towards the performance of Islamic Unit Trust funds, the method used is regression method to analyze the data collected. The dependent variables will be the performance of Islamic Unit Trust funds while the independent variables are risk and return. The expected result of this research is to have the significant relationship.