Buying shares in a company where 5% or less of the company investment is in haraam activities
Question
In order to buy stock shares, I have seen a ruling that says that only 5% or less of a company investment should be in haraam activities like alcohol, interest, etc. How can we say that when Allah has asked us to completely stay away from them? Will investing in Islamic banks be halaal if they follow these guidelines?
Answer
This statement has got no basis that only 5% or less of company investment should be in haraam activities. If something is haraam it must be avoided entirely. One cannot say that from a hundred sheep if five sheep are haraam and ninety five are halaal, therefore all are halaal.
And Allah Ta'ala (الله تعالى) knows best.
- Answered by
- Mufti Ebrahim Salejee (Isipingo Beach)
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