Understanding Shariah Investing

“Halaal” is an Arabic word that means lawful or permitted. While halaal often refers to food, it can also describe what type of investments and banking are allowed within the Islamic faith.

When I finished my studies and got my very first job at an advertising agency in the late 1990’s in Cape Town, halaal options for banking and investing were not readily available. So I opened an FNB Cheque account and invested in a unit trust or two without much thought to the “halaalness” of my choices. Fast forward 10 years or so, and the financial landscape was starting to change.

A new generation of Muslim Millenials were asserting themselves in all facets of life. With more education, both secular and Islamic, and more spending power they could be more discerning about their choices and start demanding what they needed in order to be more true to their faith.

Corporates quickly recognized this and slowly almost every financial and investment institution was offering shariah compliant investments to attract the Muslim investors. In truth though, Shariah investments are not limited to Muslims but open to everyone interested in ethical returns.

But What is Shariah Compliant Investing?

It is a form of socially responsible investing. These are the three main factors:

Prohibition of Interest
Interest or Riba is prohibited under Shariah. Paying or receiving interest is considered unjust. You are also forbidden to invest in companies that earn most of their income, like interest from others.

Haraam Businesses
Shariah prevents you from investing in businesses have revenue from the sale of alcohol, drugs, pork, gambling, weapons, pornography and other similar products.

Balanced Distribution of Wealth
In Islam, you must pay a certain percentage of your wealth as an act of charity (Zakah). It is considered to cleanse and purify the remainder of your wealth.

Now that we understand the concept it becomes easier to see the value of investing this way. However, choosing the right investment product is not always easy. So finding the right advisor to guide you is key. This is why companies like Sapphire Global are so important to help make these choices.

Founded by Dr Shakir Jeeva the company is aligned with Islamic values of honesty, integrity, transparency, fairness and justice. They understand the landscape of Islamic investments and financial products with all the subtle details that could otherwise be misunderstood.

Sapphire Global is a registered and authorised financial services provider (FSP). While they cover all kinds of financial products, they have a focus on Shariah compliant products and set out to assist clients with their financial needs, encompassing the entire financial planning sphere. This includes assisting with Investment Accounts, Short Term Insurance as well as Medical and Life Cover.

With a team of highly skilled financial experts with Islamic finance backgrounds, they can offer suitable advice and guidance to ensure risk mitigation and prosperity for many years to come. Their consulting service can also assist with strategic financial planning for your business or succession planning and financial structuring to safeguard wealth for next generation.

But don’t get me wrong, their services aren’t only for the wealthy. It’s for everyone. You don’t need large sums of money to invest in your future. It’s accessible and affordable at whichever level you want to start. They offer competitive premiums on insurance products that is sure to save you a packet that you could spend on something decadent or on someone you love.

Giving Back

Being part of the community, Sapphire Global offers 0% brokerage fees for Madressas, Masajids and charitable organizations, in an endeavour to make these financial products more accessible to them.

So whether you are just starting your financial planning journey, building a new life together, or planning ahead for the wellbeing of your family, Sapphire Global can help you make your investment choices with confidence. Reach out to them for advice you can trust.

Visit them online or contact them at: 


Leave a Reply

Your email address will not be published.