notifications_active Weekly Meshkat-e Noor Session: Thursdays at 20:30 at Haj Reza Mosque
Peace be upon you, dear teacher.
Please give a definitive and comprehensive opinion on stock-market trading, which has become very widespread these days. What is the Islamic ruling on earning money through this kind of trading, and why?
Stock-market trading has no ruling in itself; its permissibility depends on whether the transaction is valid and free of usury and other prohibited or invalidating elements. Traders must have the necessary expertise to verify that a transaction is valid before entering into it.
We know that a stock exchange, or bourse, is an organized market where goods are priced and traded, and where futures contracts and securities are bought and sold.
A stock exchange is therefore a large, specialized market. To trade in it, a trader must have specific, up-to-date expertise so that they can ensure a transaction is valid and free of usury and other grounds for prohibition or invalidity.