LessonsIslamic Investment Funds: What Makes a Fund Shari‘ah-Compliant?Quiz

If a company's main business is halal and its transactions also avoid interest-bearing borrowing, interest-bearing deposits and other prohibited dealings, its shares can be purchased and traded without this particular concern.

The practical difficulty is that such completely clean companies are rare in modern stock markets.

Opening interactive controls...

The Easy Case: A Fully Shari‘ah-Compliant Company

Islamic Investment Funds: What Makes a Fund Shari‘ah-Compliant?

If a company's main business is halal and its transactions also avoid interest-bearing borrowing, interest-bearing deposits and other prohibited dealings, its shares can be purchased and traded without this particular concern.

The practical difficulty is that such completely clean companies are rare in modern stock markets.