  This study compared accounting performance of Islamic banks with their market
performance and also assessed the effect of firm-specific determinants and
cross-sectional effect on accounting and market performance. This study
selected all six listed Islamic banks of Chittagong Stock Exchange and the data
were collected for the period of 2009 to 2013. This study reported that Social
Islamic Bank Limited exhibits superior accounting performance whereas Islami
Bank Bangladesh Limited holds better market performance. However, banks
exhibiting superior accounting performance reported to have inferior market
performance. Further, random-effect model for ROA reports that there exist
significant entity or crosssectional effect on ROA; and operational efficiency
and bank size are significantly negatively associated with ROA. However,
random-effect model for Tobins Q failed to ascertain entity or cross-sectional
effect on Tobins Q and also reveals that firm-specific determinants have no
significant impact on Tobins Q.
