HALAL INVESTMENTOR
Your guide to sharia-compliant investing, Islamic finance education, and halal stock screening.
Risk Calculator & Trade Journal
Calculate your optimal position size, set R-multiple profit targets, log trades, and track your win rate — all based on proven risk management principles. Keep your losses small and let your winners run.
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Halal Stock Market Investing for Beginners
Learn the fundamentals of stock market investing through an Islamic lens — from understanding what stocks are to Shariah screening, risk management, portfolio building, and zakat on your investments.
Halal Investmentor
Islam has its own principles and guidelines, defined under Sharia that govern all the aspects of the life of a believer including economic affairs undertaken by a Muslim.
Although Muslims constitute about 33% of the world population, there is no financial and economic system that fully complies with the Islamic sharia guidelines.
There is a huge gap for Muslims to access halal (sharia-compliant) investment options. Most of the available investment options in the modern economics and financial system are not congruent with the sharia principles, as these are primarily based on interest or Riba.
However, the situation is gradually changing with many halal alternates being created, developed and identified. So as practicing Muslims, it is our duty to learn about such alternates to earn and grow our wealth the halal way.
This blog is an effort towards learning, educating, discussing about the shariah aspects in finance and economics and to know about the shariah compliant alternates and how Muslims can benefit from the financial growth and prosperity of the world without comprising on their deen.
Shariah screening of Stocks
Shariah screening of shares is a relatively recent and developing field in Islamic finance. Some of the renowned contemporary scholars and experts both in Islamic jurisprudence and finance, like Mufti Taqi Usmani, have devised certain rules and principles as criteria for screening of shares which are to be considered halal and sharia compliant for buying and selling.
Screening criteria are primarily divided into 2 parts, qualitative and quantitative. While qualitative is screening of shares on the basis of core activity that a company performs and whether it is considered shariah compliant or not. The quantitative aspects are the financials ratios based on which the analyses the permissibility of stocks is conducted to ascertain the non-compliant portion of income in their total income and if the same is within permissible levels.
On the basis of these criteria the share screener lists down the compliance status of stocks listed on the Indian stock exchange NSE and BSE and advises their purification ratio. To know more about the process of screening please follow the button.
