Businesses and organizations that follow Sharia law when dealing with consumers and clients have grown as the Muslim community has expanded globally. One must understand financial instruments to evaluate if they follow Islamic finance’s principles to practice halal investing. Muslims must ensure their money comes from halal sources under Sharia law. Quran specifies that all earnings must be halal for an Islamic bank to operate.
Advantages of Halal Investments
The following are some of the most significant advantages of halal investments:
- Accountability to Society
Not only can investing with a socially conscious mindset ensure Sharia compliance, but it also has the potential to promote equitable distribution of wealth, safeguard rights for everyone, and reduce environmental damage.
- Halal Methods of Economic Growth
This is by far the most important advantage for Muslim financiers. For Muslims, halal investment includes access to and participation in international financial markets and the practice of disciplined investing informed by moral considerations.
- Reduced Danger
Due to the fundamentals of Islamic finance, halal assets are more resilient to large swings in the market. Islamic banking is immune to the effects of global catastrophes. Islam prohibits short-term speculating, reducing the overall risk.
AvaTrade’s Trustworthiness and Safety
In 2006 it was first introduced under the moniker AvaFX. AvaTrade has served as a global CFD broker. With over 300,000 users, it’s safe to assume that AvaTrade has achieved some success. The trading tools that a broker offers are an excellent quality indication. Poor platform performance will make trading extremely inconvenient. According to TU experts, AvaTrade, however, delivers some of the top systems in the market, like:
- MetaTrader 4
MetaTrader 4 has been praised as a top platform for traders since its release in 2002. Because of its flexibility, ease of use, and compatibility with traders of all skill levels, MT4 has become the industry standard for broker platforms. You can benefit from numerous trader-focused features, including connection to trade signals from successful traders, communication with experienced consultants, and much more. A $100 minimum to open an MT4 account can be accessed from any modern web browser, iOS, Android, or Windows device.
- AvaTrade
The Global Forex Awards announced that AvaTradeGO has been chosen as the “Best Trading Forex App.” More than 1,000 different tools for trading are available through this specialized program. With only the touch of a switch, you may trade the most popular commodities, equities, Forex pairings, cryptocurrencies, and more globally. One of AvaTradeGO’s best features is AvaProtect. With AvaPRotect, your position is safe from being closed out prematurely, allowing you more time to make money in the market.
- ZuluTrade
AvaTrade offers the automated trading platform ZuluTrade. Zulu is an automated trading platform integrating MT4 and MetaTrader via an application programming interface. You can follow and copy the trades of more seasoned traders and choose from a diverse pool of signal providers led by industry veterans.
Binary Options: Lawful or Unlawful in Islam?
Sharia Law governs every aspect of a Muslim’s life. Originally, sharia meant “the way that must be followed.” Muslims must obey the Holy Quran’s precepts in all aspects of life, from social to economic. Sharia law discuss about the prohibition any interest on loans made for business or personal purposes. Instead, the notion of “risk sharing” regulates investments in the Muslim world. This is done through practices such as sale and buy-back agreements, deferred payment sales, credit sales, and profit sharing. Interest accrued or levied on an extended position is also forbidden under Sharia law’s interpretation of Binary options trading. Trading occurs continuously, around the clock, in real-time of the stock market. Then, the broker’s account earns interest every day. The fact that money interest is generated or payable during a trading activity renders the deal “haram” to Muslims, irrespective of whether the binary broker charges or credits their clients’ wallets with the interest like FX brokers. This predicament places Muslim businesspeople in direct conflict with their Islamic convictions.
