Document Type
Article
Abstract
The influence of the COVID-19 pandemic on the bonds and sukuk market index is investigated to determine the dynamic behavior of fixed-income return volatility. Our results suggest that COVID-19 does not influence bond and sukuk market volatility in most of our samples. Furthermore, market sentiment does not exist in the fixed income market. The dominance of long-term investors in the fixed-income market could be the cause, especially given the minor impact of the pandemic on market volatility. In erms of risk, sukuk is less risky than its counterpart, and no statistical difference is found in risk before and during the COVID-19 pandemic for sukuk and bonds. Finally, sukuk may be considered a safe haven instrument in the financial market coupled with bonds as diversification tools in the investors’ portfolios
Recommended Citation
Danila, Nevi
(2023)
"BONDS AND SUKUK MARKETS UNDER COVID 19: AN EMPIRICAL STUDY OF EMERGING MARKETS,"
Bulletin of Monetary Economics and Banking: Vol. 26:
No.
1, Article 12.
DOI: https://doi.org/10.59091/1410-8046.2048
Available at:
https://bulletin.bmeb-bi.org/bmeb/vol26/iss1/12
First Page
125
Last Page
144
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Country
Saudi Arabia
Affiliation
Prince Sultan University Riyadh
