In the literature of corporate finance, there exists alongside others, an age long inquiry into the behaviour and determinants of corporate capital structure. The study into capital structure behaviour was pioneered by Modigliani and Miller (1958, 1963) and which is still widely research today. Despite years of research, much are still unknown to us, which determinants are reliable explanator of capital structure variations across firms and time. In 1984, Stewart C. Myers officially introduced the “Capital Structure Puzzle” in his American Finance Association Presidential Speech. The capital structure puzzle at its heart asks the question of how do firms decide and manage their capital structure?
Islamic capital market, Capital structure, Shari’ah compliant firms, Malaysia
Abdul Halim, Asyraf and Abd Sukor, Mohd Edil and Bacha, Obiyathulla Ismath. (2019). Capital structure and Shari’ah compliance firms: Malaysian evidence. In Muhamed Zulkhibri and Turkhan Ali Abdul Manap (Eds.), Islamic finance, risk-sharing and macroeconomic stability (pp. 63-79). Cham, Switzerland: Palgrave Macmillan.