Is trading shares in the share market acceptable (halal) as per sharia (islamic) law?

Question

if acceptable or not acceptable, a reference to the quran or hadith would be preferable in the form of explanation.

Answer 1

Same answer as Shery 7

Answer 2

Not acceptable

If you are long term investor then you will got good profit

start from mutual fund

http://shaktibanna.blogspot.com/2008/07/...

then jump in share market

http://shaktibanna.blogspot.com/2008/06/...

Answer 3

Well it is acceptable because according to prophet he hated people mixing business with interest. He said a business is a business and interest is interest. Now which type of share market is halal. I would agree with most of Islamic scholars when they say long term investment is Halal. Also do not invest in shares that depends heavily on interest like bank shares. Hope that answers your question.

Answer 4

Yes that is acceptable. But as per sharia law, there will be an index of some companies. You have to select those companies. This index means the company is proper with values that is complient with sharia law.

In India, East wind Investment Advisors has such list launched last week. You can refer the same to identify the companies in India that is sharia compatible.

In my personal advise, selecting a sharia complaint company will be safe compare with other companies. Because, they will index the company that doesn't have any debt and any litigations... less debt is the major valuation factor for value investors.

does this make sense to you?