Overreaction is a phenomenon caused by stock market inefficiencies and also a reaction to certain events. Das and Krishnakumar (2016) explain that some overreaction phenomena violate the theory of capital market efficiency. As experienced by other stocks , Islamic stocks also probably experience market inefficiencies. This study aims to analyse the phenomenon of overreaction in Islamic stocks, as well as the factors that influence the phenomenon, by using a two-stage testing method: two paired sampling and cross-sectional regression. Two specific events which occurred in 2016-2018, and which were followed by price reversal and return reversal, are studied. The results show that the election of Donald Trump as US President (Event 1) and the bombingsin Surabaya (Event 2) were significant in the overreaction in the winner stock category. The factors that influenced the two events were different. The overreaction to Trump’s election proved to be significantly influenced by information leakage, while the bombings in Surabaya significantly affected the company ownership category . The results indicate that Islamic stocks continue to have several transactions which areprohibited by the DSN MUI fatwa in the short term.

The Indonesian Waqf Board (BWI) is a national nazhir which was established with a vision and mission to advance the system of representation in Indonesia. BWI has important responsibilities in empowering waqf assets, including cash waqf. Cash waqf is one of the products of business character representation and can be an alternative to produce other waqf assets. To achieve these objectives, the management sector becomes the main sector to generate profits on a sustainable basis. Therefore, the purpose of this study is to identify internal factors (strengths and weaknesses) and external factors (opportunities and threats) that influence them based on the business model canvas. Data processing and techniques use the Analytic Network Process (ANP) with a SWOT network structure to obtain priority strategies that can be applied. From these results, five alternative strategies were obtained with the highest priority is increasing nazhir professionalism in terms of entrepreneurial waqf management. Keywords: ANP, business canvas model, cash waqf, strategy, SWOT.

This study estimates Indonesian households’ carbon emissions that are attributed to their expenditures in 2005 and 2009 to analyze the pattern, distribution and drivers of their carbon footprint. Employing an input-output-emission-expenditure framework, the authors find a significant difference in household carbon emissions between different affluence levels, regions and educational levels. They also find that, while many household characteristics influence emissions, total expenditure is by far the most important determinant of household emissions, both across households and over time. Consequently, emissions inequality is very similar to expenditure inequality across households. The decomposition analysis confirms that changes in emissions are predominantly due to rising expenditures between the two periods, while expenditure elasticities analysis suggests that the rise in household emissions is mainly caused by the overall rise in total household expenditure, and not by shifting consumption shares among consumption categories. The paper discusses policy options for Indonesia to reduce this very strong expenditure–emissions link.

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Purpose This study aims to identify the characteristics of Muslim Generation Z and analyze the factors that influence its purchase intention of environmentally friendly halal cosmetic products. Design/methodology/approach This research adopts the quantitative methods of a questionnaire and sampling technique using purposive sampling. The respondents in this study were 300 Indonesian Muslims from Generation Z. Descriptive analysis and structural equation modeling–partial least structural with SmartPLS 3.3.7 software were used to analyze the research data. Findings This study found that of the nine hypotheses tested, seven are confirmed, including the effect of halal labels on halal-green awareness, environmentally friendly labels on halal-green awareness, environmental knowledge on halal-green awareness and knowledge on attitudes. Meanwhile, religiosity and halal-green awareness influence attitudes and attitudes that affect the purchase intention of environmentally friendly halal cosmetics. Two hypotheses that are not accepted are the influence of religiosity on halal-green awareness and halal-green awareness on attitudes. The findings are expected to increase interest in buying environmentally friendly halal cosmetics by better understanding consumer behavior, especially Generation Z. Practical implications Cosmetics manufacturers benefit from halal-green branding on their products to enter new halal markets and increase market share. Originality/value This study is more comprehensive than previous studies, combining halal and environmentally friendly elements with a focus on Generation Z.

Purpose: to analyze the characteristics and factors that influence the frequency of consumer demand for Muslim friendly hotels in Belitung Regency. Method: Descriptive analysis and multiple linear regression analysis Result: Indicate that the characteristics of the respondents are dominated by women, married, age range 26 to 35 years, the last education is undergraduate, work as a private employee, length of work less than 5 years, monthly income in the range of Rp. 3,000,000 - Rp. 5,000 .000 and domiciled in Belitung. Factors of income, religiosity, service quality, and facilities have a positive and significant effect on the frequency of consumer demand in using Muslim-friendly hotel services Keywords: 1. frequency of demand 2. Muslim-friendly hotel 3. service quality 4. religiosity

Purpose -This study aims to perform the short-term and long-term relationships between net asset value of Islamic mutual funds within macroeconomic variables, to analyze responses towards the economic shock, and to analyze the composition of the net asset value of Islamic mutual funds within selected macroeconomic variables.Methodology -Monthly data over the 2015-2019 period were analyzed using the Vector Error Correction Model (VECM), impulse response test, and variance decomposition test.Findings -The results show that inflation, money supply, and gross domestic products had a positive and significant effect on the net asset value of Islamic mutual funds, on the other hand, the rupiah exchange rate had a negative thus insignificant effect on the net asset value of Islamic mutual funds.Research limitation/implication -The main limitation of this research is the lack of a variable that represents the Islamicity index, which can differentiate the driven factors of FDI in Muslim and non-Muslim organization countries.Practical implication -This study suggests that the society and the government should collaborate to maintain the stability of the rupiah exchange rate by buying domestic products, strengthening the real sector.Originality -Here we provide an update data of macroeconomics variables dynamics (e.g. GDP, inflation, exchange rate, and money supply) and its implication to Islamic mutual funds -i.e. net asset value over 2015-2019. We used a novel timeseries analytical approach (VECM) to estimate the magnitude of macroeconomics effects to Islamic mutual funds in Indonesia.

Most of conventional banks conduct their banking and financial systems under interest scheme, which is vulnerable to asymmetric information problems. This paper provides a mathematical assessment on the robustness of profit and loss sharing (PLS) based contract against asymmetric information problems. In particular we show that PLS scheme has an inherent mechanism to overcome adverse selection and moral hazard problems. Specifically, it will be shown that PLS contracts is relatively immune to the problems. This is due to the so called incentive compatible mechanism provided by PLS contracts. We also propose a risk-pooling mechanism to seize the risk exposure.