The islamic finance: is it a model of ethical finance ?

During the last years, Islamic finance is characterized by a rapid growing, becoming a substantial segment within the global financial market and alternative to traditional models of intermediation. The Islamic finance is developed with the grow of the Islamic banking and with the proliferation of a banking system where the products and services cannot be based on a predetermined and guaranteed return (riba). The proliferation of Islamic banks and the development of many other financial products in the Islamic capital market so are based on the principles of Shari’ah, the set of rules and laws based on the Quran. The study intends outline the principal different between the Islamic finance and the Western finance through the description of two securitizations (Residential Mortgage Backed Security and Commercial Mortgage Backed Securitization) made in Dubai. Therefore, it try to identify the importance of the Islamic observance that makes the Islamic finance configured, on the whole, as a model of ethical finance.