What is halal trading?

Halal (Permissible) trading is also known as 'ethical' trading. In Islam, every avenue of our life - even how we make a living - must uphold:

a moral responsibility to ourselves

a social responsibility to the community

the Creator’s right upon us

The Shairah

The Shariah detail what is considered ethical

Linguistically, Shariah means the the “path that leads the traveler to water”

Practically, the Shariah is a legal framework that guides Muslims to a life pleasing to Allah

What does the Shariah say about trading?

At it's core, trading stocks is like...

Going to an orchard farm

Buying good quality fruits 

Selling them to make a profit

Trading stocks is permissible

Most Shariah scholars are of the opinion that trading stocks is permissible as long as it is pure income

What is pure income?

Pure income avoids what the Shariah has deemed harmful for the individual or society including these 8 prohibited categories

So the stock you trade must not mainly deal in these these categories.

Other fiqhi standards (such as financial ratios) must be met depending on the scholarly opinion you follow.

What we teach?

(Technical) Matters

How to be a day trader the halal way

  • The theory behind the stock market
  • How to screen for shariah-compliant stocks
  • The strategies for buying and selling stocks
  • Contemporary fiqh opinions around trading (futures, trading on margin, shorting)

Mindset 

How to develop a healthy trader mindset 

  • How your psychology affects your trading
  • Strategies for consistency & resilience
  • Strategies for discipline in home environment
  • Common trading failures & how to avoid them

F.A.Q

How do I get in touch with David?

Add the content If you've got a quick question, feel free to ask it on the Discord general chat or by DMing David privately. If you are seeking more in-depth answers or advice, book a consultation with David through the website! to appear when the content is expanded

Who do I contact if I have payment issues?

Let us know what's wrong using the Contact Us tab and we'll get back to you as soon as we can

I've read/heard that day trading is not permissible in Islam. How do I verify that day trading is halal?
  • There are different opinions depending on the type of trading, stock selection methodology, and market strategies you use as you will learn in the course. We recommend you read the section on ethical trading on our website, do your own in-depth research, consult your local imam or a trusted scholar, and refer to the shariah standards (fiqhi opinions) and indices of some of the financial Islamic institutions such as the AAOIFI, S&P Shariah Indices, Dow Jones Islamic Shariah Indices, FTSE Yassar Shariah Index, and MSCI.
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