M. Kabir Hassan

University of New Orleans | UNO · Department of Economics and Finance

When foreign state-owned enterprises (SOE) enter the United States (US) market by acquiring domestic targets, they increase competition in the targeted industry and pressure domestic competitors. Competitors should respond to such acquisitions by changing their behavior. Using acquisition data from 2010 to 2018, we examine the impact of acquisition...

This study investigates whether there is convergence among Islamic countries with respect to the relationship between growth in Islamic financial markets and economic growth in those countries as measured by Gross Domestic Product. We use data from 2013 to 2021 for the nine Islamic countries with the highest levels of activity in Islamic finance. W...

This study explores the impact of three major risk and uncertainty indices (Geopolitical Risk (GPR), Economic Policy Uncertainty (EPU), and Oil Market Volatility (OVX)) on the Dow Jones Islamic Market (DJIM) World and the ten major sectoral Islamic equity indices. The investigation further evaluates whether the impact of these uncertainties varies...

Purpose In this study, the authors analyze the impact of geopolitics risk on Sukuk, Islamic and composite stocks, oil and gold markets and portfolio diversification implications during the COVID-19 pandemic and Russia–Ukraine conflict period. Design/methodology/approach The study used a mix of wavelet-based approaches, including continuous wavelet...

Purpose This paper aims to derive a compatible Shariah opinion on the permissibility of using cryptocurrencies by Muslims by reviewing the opinions expressed by Shariah scholars on the permissibility of cryptocurrencies. Design/methodology/approach This is a qualitative desk review research where the opinions expressed by the Shariah scholars on t...

Purpose This paper aims to examine the impact of bank’s capital buffer on return on equity (ROE) in the context of Islamic and conventional banks in GCC countries. Design/methodology/approach The authors collect data from 83 commercial banks comprising of 49 conventional banks and 34 Islamic banks for the period 2010–2019. The final data set compr...

Existing number of scientific studies on Islamic work ethics (IWE) as well as recent attraction for this topic among the academics have motivated us to adopt a bibliometric analysis on IWE literature. For graphical presentation, bibliometrix packages in R software and VOSviewer software are used. Total 183 documents from the Scopus database are exa...

Purpose The purpose of this paper is to find out the possible gaps in the Sharīʿah governance, and suggest how to fill the same, in line with the principles of Islamic finance and the global developments regarding social and value-based financial intermediation. Design/methodology/approach The paper uses secondary data gathered through analysis of...

This study uses a machine learning technique to assess whether employee lawsuits are informative in predicting firm performance. Using a Bayesian topic modelling algorithm, we examine a large collection of employee lawsuit announcements between 2000 and 2016. We extract the key topics of lawsuit announcements via a text mining approach of Latent Di...

This study investigates the effects of firm‐level political risk on corporate investments. We find that diversified firms are better able than focused firms in mitigating the impact of idiosyncratic political risk on investments. Diversified firms accomplish this feat via efficient use of the internal capital market that allows segments to alleviat...

We examine the stock return implications of corporate-defined benefit pension plans in innovative U.S. firms and in R&D- and patent-sorted portfolio specifications. We find that investors underreact to firms increasing off-balance-sheet liabilities. Pensions represent material off-balance-sheet liabilities: in our extensive and large sample (1985–2...

This study proposes an optimisation-based “benefit-of-the-doubt” (BoD) methodological framework for developing a new multidimensional index of bank stability. The proposed index has the ability to serve as a potent policy tool that overcomes the downsides of accounting- and market-based measures of bank stability. This data-driven approach generate...

‘Do different streams of capital flows affect asset prices differently?’ is published in Global Finance Journal (ABDC A/ABS2/Q1/SSCI IF 2.853). We explore the impact of six types of gross capital flows (debt, equity, and banking gross inflows and outflows) on two dimensions: (1) extreme episodes of surges, stops, flights, and retrenchments, and (...

Purpose In recent years, Islamic banking (IB) has received a lot of scholarly interest, as seen by the substantial increase in publications on the subject worldwide. The increasing rate of publications on IB indicates that this subject has attracted a substantial amount of scholarly attention. It has also been a prioritized topic for many banking...

We show that ethnic diversity of CEOs of merging firms has been increasing and report evidence of ethnic homophily effect in M&As transactions. Specifically, M&As perform better when the CEOs of the merging firms share a common ethnic background. In a sample of 444 US mergers completed between 2000 and 2018, we find that ethnic homophily improves t...

We evaluate the influence of five major risk and uncertainty factors on four asset classes. Our time-varying findings suggest that each asset hedges only a particular uncertainty factor, whereas gold does more than one factor, especially during COVID-19. Our frequency-based quantile regression (QR) results show that in the raw frequency, gold and I...

This paper examines the relation between fintech-based inclusive finance and bank efficiency using annual unbalanced data of 318 banks from 7 dual-banking countries over the period of 2011 to 2020. It measures bank efficiency using the data envelopment analysis (DEA) and then applies the Simar-Wilson bootstrapping regression to measure the influenc...

Using an international setting consisting of 5410 corporations domiciled in 24 countries, we test the insurance-like effect of corporate social responsibility (CSR) performance in the era of the pandemic and confirm that CSR performance increases socially responsible companies’ resilience against the adverse effects of the crisis. Comparing stakeho...

Technology has no religion. To enhance zakat administration, the use of technology has been explored today more than ever due to Industry 4.0. The objective of this desk research is to discuss the role of technology in distribution of zakat to poor and needy. The findings of this research suggest that though so far, zakat has been linked mostly wit...

Purpose Banks' service failures are a major determinant of bank customers' switching behavior, which ultimately affects the profitability and stability of banks. Guided by the expectancy violation theory (EVT), this study aims to examine whether and how bank reputation influences the relationship between service failure and customers' switching beh...

Purpose This study aims at two objectives, i.e. first, to identify the core elements of the Islamic fintech ecosystem, and second, to use the identified core elements to analyse the development of such an ecosystem in Indonesia. Design/methodology/approach This work combines data analytics of text mining with qualitative analysis of human intellig...

Heaping praise on cryptocurrency network due to its transparency, portability, divisibility, and resistance to inflation, the crypto market has gained huge support from investors and traders worldwide. Given its rising popularity, most of the central banks today plan to launch their own cryptocurrencies. Such phenomenal growth trend has undoubtedly...

Despite tons of studies on Islamic banking (IB) behavior, there is a lack of understanding of the Millennial generation's attitude to and subjective norms surrounding Islamic banking, as well as of their behavioral intention toward Islamic banking. Therefore, the present study investigates the influence of the Millennial generation's attitude and s...

Islamic finance ought to follow Shari’ah in all dimensions of it including regulatory, substantive and procedural matters of it. However, since the inception of the institutionalization of Islamic finance, it has been criticized for using conventional interest rates to benchmark its financial products. Irrespective of the criticisms made in this re...

Although political risk in banking has received much more attention in recent years, there is no review that synthesizes these incoherent studies and provides a comprehensive image of the field in the past, present, and future. This paper is a meta-synthesis literature review on political risk in banks over a 35-year period from 1985 to 2019. We su...

Islamic finance offers an alternative financial system that prohibits the use of interest and other economic exploitations and intends to establish a just and fair economic system. The industry has seen some extraordinary growth, primarily in systemically important Islamic finance countries in the Middle East, North Africa, Southeast Asia, South As...

The new age Fintech-driven innovative financial services started with the fourth industrial revolution and COVID-19 has stimulated supreme innovation in the global financial services industry. It is the young and millennial population driving these innovations and startups are responding, as there are more than 15,000 startups and global Fintech-ba...

As the presence of Fintech in financial services industry is growing, its impact on various stakeholders is hard to ignore. Two of the most important stakeholders are the financial institutions, particularly banks, and the users of the financial services—the customers. Traditional financial institutions are reinventing their products and services b...

The ongoing COVID-19 pandemic has wreaked havoc on the financial system, and it now becomes a new challenge to Islamic banking. This pandemic demands the use of a distinct set of financial services, strategies, and technologies among which is the Islamic Fintech. The main objective of this study is to explore the use of Islamic Fintech in the Islam...

In this chapter, we attempt to take a deeper look into financial technology (Fintech) as a financial innovation and its applications in the Islamic finance industry, with a focus on Bahrain. Fintech has disrupted the financial services industry like nothing before and has become the most exciting innovation of the twenty-first century. Throughout t...

The present chapter makes an honest attempt to provide a comprehensive overview of sharia compliance of the disruptive innovation called Crowdfunding and P2P lending. Islamic finance startups are comparatively small and high-risk investment avenues which makes it not so attractive for the conventional banks and finance providers to provide finance...

The COVID-19 pandemic and its associated lockdown have created a mammoth economic cost to the economies around the globe. The policy response to the crisis must be fast, secure, and sustainable. It has also created astonishing solidarity among the people with every element of society irrespective of race, caste, creed, or religion working together...

The study tries to provide visualization of the Fintech ecosystem in the MENA region. The global financial market is undergoing unprecedented change with the COVID-19 pandemic and the evolution of disruptive technology called Fintech. Fintech has completely changed the landscape of the financial sphere across the globe. One of the key outcomes of t...

Fintech is the latest development in the financial and banking industry and is focused on information technology, automation, policy, and decision-making. Fintech applications work on payment and loan services, personal financial consulting services, crowdfunding, virtual currencies, and cyber security. Fintech industry can be encouraged with the h...

This chapter attempts to provide a comprehensive overview of the ongoing technological disruption in the finance world. There is no denying that technology has already brought disruption of unprecedented scale and type in terms of bringing innovative solutions like never seen before in the financial sector. The disruptive innovation like P2P lendin...

Innovative financial services driven by modern technology has completely changed the business models in the finance world. Research in Fintech and its application in the Islamic finance industry has thus examined the shifts and impact of the disruptions on Islamic finance industry. This chapter uses bibliometric analysis to provide an overview of t...

The present study aims to examine the role of Islamic financial system in the recovery of post-COVID-19 pandemic and possible role to be played by the disruptive innovation called Islamic Fintech. The study takes a discourse analysis route to examine the disruptions created by the pandemic on the overall global Islamic economy. Islamic financial sy...

The present study aims to do a systematic review of the literature on cryptocurrency and Shariah compliance. It also explores the Shariah compliance of the conventional cryptocurrencies, such as the Bitcoin, Ethereum and Litecoin, among others. The review is undertaken based on the Scopus database. The findings of the study indicate that financial...

Purpose: The Islamic banking literature has been growing rapidly in the last decade. The aim of this study is to carry out a retrospective hybrid review to reveal this literature’s influential scientific actors (countries, institutions, journals, authors and documents), identify and discuss its most important streams, and finally, present a future...

Research on gold has been heaping praises on the yellow metal. Factors driving gold prices, the effectiveness of gold price predictions, the economic viability of gold mining, risk management using gold, and its comparisons against exchange rates and stock prices have been some of the consistent foci of researchers. Applying bibliometrics, we prese...

While many recent studies have used the ecological footprint as a comprehensive indicator of environmental degradation instead of CO2 emission, these were mainly focused on consumer responsibility. This study, however, aims to cover both aspects of consumption and production to elicit a more comprehensive understanding. Furthermore, this study addr...

Stewardship theory suggests that CEO duality can provide strong leadership and facilitate the development and coordination of firm strategy. These benefits should affect firm risk and financial performance, particularly when the firm has high information-gathering costs. We use the 2020 coronavirus outbreak as a natural experiment to determine whet...

In this paper, a new quantitative measure is developed to assess how well a firm complies with Shariah compared to other firms in a particular region. Investors can customize this measure according to their goals, constraints, and beliefs. The following two reasons make the use of this measure preferable to the existing use of ratio thresholds. Fir...

By proposing a novel continuous and time-varying measure of Sharia compliance, we investigate whether it enhances the effects of corporate social responsibility, proxied by Environmental-Social-Governance scores, on firms' equity costs and market risks in emerging countries. We construct a large dataset of non-financial listed firms incorporated in...

Purpose The purpose of this study is to investigate the role of Auditing and Accounting Organization for Islamic Financial Institution (AOIFI) governance disclosure on the performance of Islamic financial institutions (IFIs) through systematic literature review approach. Design/methodology/approach This study is based on the review of literature r...

This study empirically analyzes the MPTM through bank' balance sheet in Pakistan for the period of 2008-2018. The data set consists of 22 conventional banks and 18 Islamic banks (5 full-fledged and 13 Islamic windows of conventional banks) of Pakistan. The study employs the robust two-step system-Generalized Method of Moments is applied for estimat...

Purpose While the world is yet to fully recuperate from the social and economic repercussions of COVID-19, the Russia–Ukraine conflict poses another major threat causing a humanitarian crisis and economic shock. Although the 2030 Agenda for Sustainable Development Goals (SDGs) and its pledge to “leave no one behind” is a universal commitment to pro...

To understand whether regional proximity leads to exchange rate connectedness, we explore dynamic co-movement of currencies from two important regions namely the South Asian Association for Regional Cooperation and Association of Southeast Asian Nations by using Continuous Wavelet Transformation approach. Our results reveal very little co-movement...

Shari’a governance is considered a crucial element of the Islamic banking industry. As recent as 2017, Islamic banks in the Kingdom of Bahrain were required by the regulator to have only a Shari’a Supervisory Board and an internal Shari’a function. In 2017, the Central Bank of Bahrain issued a new Shari’a Governance module (SG) in its rulebook, req...

Purpose This study akims to investigate the effectiveness of expansionary monetary policy for Islamic capital markets by studying the impact of decrease in policy rates on seven Islamic equity indices for the period 1996–2019. The transmission mechanism may be different for sampled indices, as they are exposed to Shariah screening that discards cer...

Turkey's Muslim heritage is rich and a Muslim majority country. Over time, more Islamic banks have opened around the world, including in Turkey. Turkey calls Islamic banks "participation banks". The study reviews bibliometric and content analysis of Turkish participation banking from Scopus. Scopus data were retrieved on Jan. 20, 2022. The keyword...

We examine whether religious diversity influences management decisions concerning the environment. Using a large U.S. sample, we document that the corporate environmental initiatives are positively associated with the religious diversity present in the counties within which that company’s headquarters resides. This positive association persists eve...

This paper examines the impact of cross-listing in the US on domestic liquidity of the cross-listed stocks. We use a sample of firms from 31 developed and emerging economies that cross-listed their shares on major US stock exchanges through an American Depository Receipt (ADR) program between 1998 and 2020. The study finds that domestic liquidity i...

This study employs bibliometric analysis to evaluate 443 scholarly works on the topics of Indonesian Islamic banking published on 194 academic platforms, and authored by 1049 scholars. The machine learning tools i.e., R Studio and VOSviewer were employed to analyse the Scopus’ bibliographical data automatically harvested from the database. We devel...

The literature gap in microfinance paradox of double bottom line (financial performance vs. outreach) has always been an interesting area of research. This paper proposes a theoretical model most suitable for Islamic Microfinance Institutions (MFIs) which enables Islamic MFIs’ to operate together with the existing financial models compliant with Is...

Turkey's Muslim heritage is rich and a Muslim majority country. Over time, more Islamic banks have opened around the world, including in Turkey. Turkey calls Islamic banks "participation banks". The study reviews bibliometric and content analysis of Turkish participation banking from Scopus. Scopus data were retrieved on Jan. 20, 2022. The keyword...

Under rational asset pricing theory, and in efficient, frictionless market, risk should be priced contemporaneously and, thus, the market meltdown during the COVID‐19 pandemic must have been a contingent valuation of newly created risk. In contrast, we find that the reduction in equity value during the pandemic was stronger for stocks with higher p...

We analyse four risk dimensions of inward FDI alongside economic growth for forty-eight developing countries for the period 2000–2019 using Fixed Effects, and System GMM models. After controlling for potential endogeneity issues, the results show that economic growth and currency rate have robust positive effect on FDI inflows, whereas inflation ra...

We show heterogeneous impacts of two sorts of events using a sample of six events arising from the Indo-China border disputes in 2020. The NIFTY's sectoral indices reacted heterogeneously to both events. While a few sectors evidenced positive and negative abnormal returns, others were unaffected by the events. The cross-section of the abnormal retu...

Purpose Zakat (Islamic almsgiving) plays a considerable role in dealing with the socioeconomic issues in times of COVID-19 pandemic, and such roles have been widely discussed in virtual events. This paper aims to discover knowledge of the current global zakat administration from virtual events of zakat (e.g. webinars) on YouTube and Zoom via text m...

Ever since the COVID-19 pandemic hit the global economy, banks all over the world experienced significant reductions in loan growth and increases in distressed and non-performing assets. The persistent increase in non-performing loans, accompanied by low interest rates, led to a surge in banking risk, posing a solemn threat to banks’ stability. In...

The international sukuk market is represented by a limited number of issuers. One of the factors preventing companies from entering the market is, apparently, elucidating the true default risk of the potential sukuk issuance and related risk-minimization tools, such as guarantees and ratings. The article focuses on the default risk the potential su...

This paper examines whether the Covid-19 pandemic has had a homogeneous or heterogeneous effect on stock returns in India. We consider panel data by using 1,318 companies that are listed on the National Stock Exchange of India. We find that the daily growth rate in Covid-19 cases and Covid-19 deaths are negatively associated with stock returns. Fur...