Get to know some interesting aspects of Islamic guidelines. I am not a subject matter expert, however as part of continuous education for self, clients, other beneficiaries i shall try and explore the world of this novel way of managing money.
Under the Islamic law a person (Following principles of Islam religion) is basically not allowed to charge interest for the money he lends. The money which is given to someone should be for a noble cause. It should comprise of not being used for purposes which are restricted under its laws. Accordingly it should not be invested in business which are in feilds of liquor, gambling and pornography.
Basically many religions across the world prohibit such business and investments in them. In fact many religions in India such as Jainism also prohibit such investments. However what differs is the degree of adherence to such guidelines. Many Jains are involved in the Equity and Bond markets.
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