Marketing

Financial system

Frequency domain

Islam

Ecology

Biology

Actuarial science

Social psychology

Portfolio

Archaeology

Economics

Gold as an investment

Business

Diversification (marketing strategy)

Social connectedness

Psychology

Islamic finance

Mathematics

Politics

Geography

Political science

Monetary economics

Sukuk

Psychotherapist

Econometrics

Mathematical analysis

Hedge

Financial economics

Bond

Finance

Investment (military)

Pacific-Basin Finance Journal

This paper investigates the dynamic connectedness between gold, sukuk and Islamic equities at multiple investment horizons, it also computes optimal hedge ratios and portfolio weights for these assets. Our findings suggest that gold hedges the risk of sukuk in the short and medium terms, and that gold plays an average but stable role in hedging and diversifying Islamic equities across all investment horizons. Moreover, we document a diversification benefits of portfolios combining gold and Islamic equities in the short term. These empirical findings highlight the important role that gold plays in the diversification and hedging of Islamic assets.

Connectedness and hedging between gold and Islamic securities: A new evidence from time-frequency domain approaches