Wakala

Learning objectives

The main objectives is to:

– Define a wakala agreement, and

– Apply a Wakala contract

What is Wakala?

A Wakala is an agency agreement whereby a representative (known as the Wakil) for commercial purposes with a capacity similar to a power of attorney.

Standards, templates, rules and regulations

AAOIFI

AAOIFI FAS31: “Investment Agency (Al-Wakala Bi Al-Istithmar)” [English].

IIFM standard 5: Inter-Bank Unrestricted Master Investment Wakalah Agreement (UMW)

Inter-Bank Unrestricted Master Investment Wakalah Agreement (UMWA) [English] [Arabic] [French]
IIFM Wakala Operational Guidance Memorandum [English] [Arabic] [French]
Minor Amendments to the Inter-Bank Unrestricted Master Investment Wakalah Agreement [English]
Client Briefing (Clifford Chance LLP) [English]

Fatwas of Islamic products using Wakala

Fatwa on Meethaq Wakala Bil Istithmar Pronouncement [Arabic]

Fatwa: Mashreq Capital Protected Wakala Agreement [English & Arabic]