Zakir Naik – Having Discovered Only Lately that the Shares I Bought from a Company are Haraam what shall i do
AI: Summary ©
the core activity is sharia compliant.
AI: Transcript ©
Assalamualaikum.
Waalaikumussalam.
My name is Sadiq.
I am a student from Kolkata, India.
My question is, I invested money on a
halal company's shares three months earlier, but recently
I checked that the company has become haram
because interest bearing debt to total assets has
exceeded to 43.75% due to which
the stock has become haram, but previously the
stock was halal.
What should I do?
The question posed by brother Sadiq that he
invested in halal shares and maybe he has
knowledge about how to invest in stock which
are sharia compliant.
And when he invested, and when he bought
these shares three months earlier, these shares were
halal.
But now when he checked up, he came
to know that the interest bearing ratio or
the debt ratio has increased to more than
43.75%. So now it's become haram.
What should he do?
First, if you have heard my answers on
how do you come to know whether the
stocks you are purchasing of a particular company
is sharia compliant or not, and there are
five categories.
The first is that the core activity should
be halal and then you should see to
it that they are not involved in any
interest bearing activity as a company which is
giving loan on interest, etc.
Then the cash and the debt ratio should
be less and any haram activity should be
less than 5%.
These were discussed in detail.
So the brother has checked and he realized
after three months that debt ratio has increased
to more than 43% and that makes
the share haram.
What should he do?
He should immediately sell the share.
Sell the share and invest in a halal
share.
But while investing, see to it that there
are two types of sharia compliant.
One is that the company itself has a
sharia board and it is sharia compliant by
nature.
By nature means it has a board.
So investing in sharia compliant shares which has
a sharia board is the best.
And Malaysia, where I live, there are many
sharia compliant shares and it is there in
the stock itself.
It mentions sharia compliant, halal, okay, not sharia
compliant.
In India, there are very few which are
basically which have a sharia board, etc., hardly
any.
But even if it doesn't have a sharia
board, it can be sharia compliant by nature
because it may not be a debt company,
it may not be taking loans, the core
activity may not be haram, it may be
dealing with maybe pharmaceuticals.
So by nature it can be.
So some companies, by nature, if they don't
have a sharia board also, it can remain
halal.
But some company can keep on changing like
the one you said.
Invest in a company and that company has
got involved into debt, you know, so in
this you have to keep on monitoring.
But the best is to invest in shares
which has, invest in companies which has a
sharia board.
The second best would be, by nature it
is sharia compliant.
You know that the company will not involve
in taking loans from the bank, and by
nature it is such a company, it is
a strong company, it's a big company, and
it's involved in products which are halal.
And then the third would be the company
which may keep on changing.
So it is preferable to avoid investing in
companies which can change because you have to
keep on monitoring, and then if it's haram
you'll have to sell it.
So why let you invest even for a
small period, whether it be a month or
whether it be a week.
So best is to involve in companies which
have a sharia board, as I mentioned.
Second best is by nature if it's sharia
compliant.
But now the solution for this, see to
it that you sell it immediately, if you
want to continue investing in sharia compliant shares,
see to it that you invest in a
company which has a sharia board, or by
nature it is sharia compliant.
Hope that answers the question.