Quick Tips – What are Shariah Compliant Stocks?

Before we start discussing on Shariah-Compliant stocks, let us brief about Shariah.   Shariah is a law, a guide or a principle in Islam for the people to follow and to lead their lives accordingly. Shariah is an Islamic Law and way of life. We will discuss here only a part of Shariah finance that […]

Is it halal for Muslims to Invest in Shares listed on Stock Markets?

Is it halal for Muslims to Invest in Shares listed on Stock Markets? The Answer is ‘YES’ It is permissible for Muslims to invest in stock markets if the company’s Shares are in accordance with Shariah principles. Trading in shares on the stock market is absolutely fine from an Islamic view point. Unfortunately, that there […]

How to use Islamicly App- Step by Step Guide

Hello! We are glad, you are excited and eager to use our new Islamicly app for all your halal trading and investment needs. At Islamicly, we are proud to have a one stop platform for all our Muslim brothers and Shariah sensitive investors who want to engage in Shariah compliant equity investments. This app has […]

Rules of Shariah compliant Equity Trading

Rules of Shariah Compliant Equity Trading Investing in Shariah compliant companies The easiest way for Muslims to invest their money in a halal manner is by investing in Shariah compliant equities of companies listed on local stock exchanges. Buying stocks of companies which are classified as Shariah compliant is permissible from an Islamic perspective. There […]

Islamicly Research vs The Rest

Islamicly Research Vs the Rest In your quest for investing Islamicly, you might be at a place deciding which platform or app you should trust. To help you in your decision making, we present to you this article underpinning the importance of ‘research’ in assigning Shariah compliance status.This will give you a wider understanding of […]

Are Preferred Shares HALAL? A Simple (But Complete) Guide

Are Preferred Shares HALAL? A Simple (But Complete) Guide Introduction Listed companies globally have two main types of shares: Common shares and Preference shares. A share represents a fractional ownership in a listed company. They usually come with a right to receive dividends i.e. they are entitled to a share of profits in the company. […]

Purification of Shariah Compliant Equities

Purification of Shariah Compliant Equities Dividend purification of Shariah compliant equities is the process of purifying the income earned from Shariah compliant equity investments to the extent it had impure income. What is Dividend Purification? Companies having less than 5% of their revenues coming from prohibited business activities are said to have passed the Sector-based […]

Shariah compliant status of stocks is Dynamic or static?

Shariah compliant status of stocks is Dynamic or static? Do companies change their Shariah compliance status often or their Shariah compliance status remains the same? A listed stock is classified as Shariah compliant if it passes the Shariah Screening Criteria. See here for detailed Shariah screening criteria: Shariah Screening Criteria As you can see there […]

Is Investing in companies having interest bearing debt permissible?

Is Investing in companies having interest bearing debt permissible? Islam prohibits all forms of interest in a financial transaction. There isn’t a doubt about the prohibition of interest in Islam whether taking or giving it. Then how come companies have been deemed Shariah compliant, when they are involved in raising debt which is interest bearing? […]

Shariah Financial Ratio Screening :: Market capitalization Vs Total Assets

Shariah Financial Ratio Screening :: Market capitalization Vs Total Assets To classify a company as Shariah compliant, the company has to pass the two levels of screening. Level I – Sector screening Level II – Financial Ratio screening. While there is near unanimity among Shariah scholars globally regarding sector screening, there seems to be one […]