Friday, July 4, 2014

Sharia Financial Services

How long will it be before the bank tellers are wearing burquas?

Having spent over twenty years in the financial services sector, Adolf was intrigued to receive this link from 'a friend.'

Just another small step in the invasion of the west.   Pssssst!  Abdul, don't tell the infidels we are Islamist and they won't notice until we have them hooked.  You see, it's OK for Muslims to tell infidels (yoonmee) lies if it helps the Muslim cause.

Interesting to see the Islamist banks have run out of Muslim customers.  Maybe it's not such a good long term strategy to target a community which consists largely of poor bastards with hardly a shekel to scrape together.  So, they want to attract some of the rich pricks from the West but unfortunately the 'Islam' brand is slightly damaged.  Not too many rich pricks want to entrust the financing of their businesses to a gang of head hacking, clit clipping, daughter killing, lying, murderous pricks who regard death by stoning as appropriate punishment for a woman who allows herself to be raped by the aforementioned charming gentlemen.

Islamic banking  essentially requires that there be no payment of interest on a loan.  That's it.  Not much  else is different  from conventional banking.  Instead of lending you the money, they buy the asset for which you required the loan, capitalise the interest and inflate the price accordingly before selling you the asset.  So the poor sucker customer pays all the interest up front.   The other tactic is to tke an equity share in a business.  No interest is charged but the bank receives its share of annual audited profit and the 'borrower' buys out the bank as he can afford to do so.

In point of fact, the big four banks in NZ have been dealing in equity funding for years if not decades.

As far as I can recall ten years ago there were ads in the paper inviting farmers to bank run seminars on equity funding.  Adolf set up a couple of equity funded deals for clients but the deals fell over because the clients eventually turned out to be somewhat disreputable.

In the 1960s the largest private irrigation schemes in Australia was funded by Saudis.  Australians were too lousy to invest in their own country.  It's London to a brick this multi-million dollar deal would have been equity funded.

2 comments:

Anonymous said...

The concept of Sharia banking has much to commend it - your house would cost a lot less to buy using it. It stems from Jewish principles about usury so has its roots in Old Testament doctrine. That doesn't make Islam other than a shitty deal overall but the current fractional reserve banking system is hardly wonderful.

3:16

Adolf Fiinkensein said...

3:16

"your house would cost a lot less to buy using it. "

That's a pretty bold statement. evidence please?