ISLAMIC INVESTMENT
“ There is a big difference between the number of Muslims in the world and how many of them actually invest their money ”
KATE LEAMAN CHIEF MARKET ANALYST , AVATRADE
in Arabic . Openness and certainty are integral to Islamic finance , so insecure or intangible financial practices such as insurance are also not permissible .”
It is clear to see , then , why Muslims wanting to participate with the stock market have been underrepresented for too long , as a result of operators failing to cater to these beliefs . But a new generation of investing apps like Zoya and Wahed , which aim to be Shariah-compliant , are helping to address that imbalance .
How many Muslims participate in the stock market ? The historic lack of options for Shariahcompliant investing is still reflected in the number of Muslims who own stocks and shares . Muslims make up nearly a quarter of the world ’ s population , yet barely 1 % of financial assets qualify as Shariah-compliant .
“ There is a big difference between the number of Muslims in the world and how many of them actually invest their money in a way that follows Islamic rules ,” says Kate Leaman , Chief Market Analyst at AvaTrade . “ This gap is because many Muslims might not know about these investment options , or they might not be easy to access . However , there is hope that special investment platforms that follow Islamic rules can help more Muslims become involved in the stock market .”
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