When it comes to shared risk in trading, this is a component that is supported by principles such as:
- Bai bithaman ajil (deferred sale).
- Mudarabah (profit sharing)
- Bai al inah (sale and repurchase)
- Bai muajjal (credit sale)
- Bai salam (full prepayment)
- Murabaha (cost plus financing)
- Musawamah (the price paid by the seller is unknown to the trader).
As an investor, you are essentially investing in an asset. If the value of your asset goes down in value, you will face a loss
On the other hand, if the value of an asset increases, you would make a profit - which means that both the risky and the beneficial parts are the same if you manage your business well. If you look at it this way, trading and Islamic faith are completely compatible.
Islamic Finance - Can I buy shares?
Buying shares is generally not considered haram as you can only buy a percentage in a company. It is still very important to ensure that the company you are buying shares in laws within the Shariah.
From an Islamic perspective, there are usually two main types of businesses in operation:
- Haram practice activities: Stock exchanges are considered haram if the company in question is involved in banking, gambling, alcohol or riba (interest).
- Halal practice activities: Businesses engaged in practices such as clothing, manufacturing, sea transport, real estate, furniture and accessories are usually considered free of Haram transactions and practices.
Some researchers are of the opinion that you may continue to invest in shares in https://exnesscom.com/accounts/ if the company sells only a small amount of non-halal services and goods. In other words, the company you invest in may have a mix of activities, but most are accepted as halal trade.
In this case, to comply with Shariah law, you must take all profits from the Haram section of the business and donate this money to charity. Q.For example, if 15% of the profits come from the sale of alcohol, 15% of your total profits must be donated to a recognised charity.
Forex Trading Halal Accounts - Commissions
One of the things that makes halal forex trading so interesting is that unlike other more conventional trading accounts, no swap interest is generated at all. This subsequently makes it halal. As we touched on earlier in this guide, the reason swap interest is generated by a trader who leaves a position open after the market has closed (overnight), which makes it haram (because overnight funding fees play).
Fortunately, a halal forex trading account removes the interest from trading and allows followers of the Islamic faith to trade safely with a suitable online brokerage firm. But tsein still raises the question; How or what do halal forex traders pay in terms of commission?
Well, halal forex traders usually pay the following fees:
- Management fees
- Commissions
- Margins
None of the above fees payable by Halal Forex trading account holders are considered Riba Haram.
You are the best….much love.
I love an Ism-Free space! Peace and light.
This is a great policy because now you can make sure that people who don’t agree with you can’t challenge you in front of everyone. You’re awesome!! xxx peace and liberty and love.
actually, it’s a great policy because i don’t have to deal with nitwits like you who think that you’re entitled to be heard simply because you have awesome thoughts about how awesome Greenwald is and also, too free Bradley Manning. You insulted a co-blogger. This is my blog. You don’t have a right to be here. Go back to Salon.
Toodles!
Too many people out there in the world think they have some sort of right to piss on someone else’s living room floor in full view of the entire assembly. Fuck that noise. Stab ‘em hard, ABL.