Question

I would like to know if it is haraam to buy shares in a company?

Answer

With the fllowing conditions it will be permitted: 1, The company is not engaged in an unlawful trade such as producing wine or cigarettes etc. 2, One ensures that it is a real company with real assets, and not a company that has most its assets in the form of money. 3, If there is an element of interest in any profit one has gained in a financial year (ascertained by looking at the company accounts for that year), one purify one's money by giving that much in charity (the poor).

The answer given above is the opinion of the scholar who has answered the question and does not reflect the opinion of other scholars, volunteers or employees of As-Suffa Institute and As-Suffa Institute as an organisation.

Copyright As-Suffa Institute - Registered Charity: 1106270