PLEASE TELL US A LITTLE ABOUT YOURSELF SO THAT WE CAN DISPLAY THE MOST
APPROPRIATE CONTENT TO YOU:

This site uses cookies. Some of the cookies are essential for parts of the site to operate and have already been set. You may delete and block all cookies from this site, but if you do, parts of the site may not work. To find out more about cookies used on Trustnet and how you can manage them, see our Privacy and Cookie Policy.

By clicking "I Agree" below, you acknowledge that you accept our Privacy Policy and Terms of Use.

For more information Click here

Login

Password Reminder
Not Registered? Click Here

Register

Register
It's look like you're leaving us

What would you like us to do with the funds you've selected

Show me all my options Forget them Save them
Customise this table
You are here: ShariahLawGuide

Education

Shariah Law Guide

 

Summary
Many Muslims follow Islamic Shariah law (other variations; Sharia, Shari’ah, Shar’ah) which shapes nearly all aspects of their lives, including the types of investments that are available to them.
Certain types of investments that are considered unfair or unethical under Shariah law are prohibited, restricting Muslims from investing in many forms of conventional investment vehicles. Hence, most Muslims invest in unique investment vehicles that comply with Islamic Shariah law.
These are not dissimilar to other ethical investment vehicles that have an extra set of rules layered on top of conventional common laws that influence the underlying investment decisions to suit a specific group of investors.
There has been increasing interest in Shariah compliant investment vehicles because of the build up of unmanaged wealth in the Muslim world, especially around the Gulf Cooperation Council (GCC) due their vast accumulation of wealth from the soaring price of oil and rapid development in regions such as Dubai.
As the majority of people in the GCC are Muslim and therefore follow Shariah law, a Shariah compliant investment vehicle is required to effectively tap into this great pool of unmanaged wealth. Moreover, Shariah compliant investment vehicles are even attracting non-Muslim investors who admire Islamic principles of risk sharing and those who agree with Islam’s views on ethical investments.
This article will cover the basic concepts behind Islamic Shariah law, the main investment vehicles and their impact on investors.
Next Section »

Back to top of pagetop

News & Research

More Research: April

alter Investors can get 15% or more from bonds in the next two years, says Pictet manager
alter Navigating global headwinds: The case for emerging market debt
alter Mixed asset fund flows: Investors lose faith with Ruffer Total Return and Troy Trojan
alter The most consistent Asia funds of the decade
alter Six managers ascend to FE fundinfo’s Alpha Manager ‘Hall of Fame’
alter F&C vs Alliance Trust: Which core global equity trust should you pick?
alter Why the size of investment trusts matters to investors
alter A historic valuation opportunity in the UK
alter Global fund managers at their ‘most bullish’ since Jan 2022

View all research»

 
 
Data provided by FE fundinfo. Care has been taken to ensure that the information is correct, but FE fundinfo neither warrants, represents nor guarantees the contents of information, nor does it accept any responsibility for errors, inaccuracies, omissions or any inconsistencies herein. Past performance does not predict future performance, it should not be the main or sole reason for making an investment decision. The value of investments and any income from them can fall as well as rise.

LATEST :

Five reasons to keep hold of your defensive funds

13:00 | Monday, January 20, 2014

Close

You are currently using an old browser which will not be supported by Trustnet after 31/07/2016. To ensure you benefit from all features on the site, please update your browser.   Close

© Trustnet Limited 2024. All Rights Reserved.
Please read our Terms of Use / Disclaimer and Privacy and Cookie Policy.
Data supplied in conjunction with Refinitiv and London Stock Exchange Plc