Banks, Funds, and risks in islamic finance: Literature & future research avenues

•We discuss current state of research in Islamic banking, Islamic fund management, and Islamic risk management•We shed some light on current regulatory challenging in dealing with dual banking systems•We explore promising research avenues in Islamic finance In this paper, we present the current state of research in Islamic finance by focusing on three spheres of knowledge: Islamic banking, Islamic fund management, and risk management. We also discuss regulatory issues while systematically referring to conventional finance as a benchmark. We conclude by shedding more light on future research avenues.