QA-ID-0041
QUESTION
As the consensus for cryptocurrencies is haram would the same apply to stocks and shares?
ANSWER
﷽
The stance of our scholars regarding purchasing shares in publicly traded companies is that it is impermissible. The main reason for this prohibition is the significant involvement of interest (ribā) in these companies, which individuals cannot avoid when acquiring shares. Even if the core business of these companies may be halāl, it is impossible to avoid the heavy presence of interest.
While some contemporary scholars may hold the opinion that purchasing shares in publicly traded companies with halāl core businesses is permissible despite the prominent interest element, our scholars do not endorse this view after almost five years of thorough deliberation on the matter. Our scholars across the subcontinent unanimously hold this position.
Further details can be found in our upcoming research paper on stocks and shares.
(See Majlis e Shar’ī Ke Faisle 1/144 presided over by senior scholars including Muftī Sharīf al-Haq, Muftī Akhtar Ridā; Share Bāzār Ke Masāyil by Muftī Nizāmuddīn Misbāhī; Jadīd Masāyil Par Ulemā Kī Rāye Aur Faisle 1/175).
والله تعالى أعلم
And Allāh Knows Best
Muhammad Kalim Misbahi
