Is the final salary/defined benefit scheme permissible?

Q: I am a teacher in a secondary and one thing that is offered to all teachers is the Teacher Pension scheme. such a scheme or any pension scheme deemed as halal, would it be better to opt-out of such schemes? It is the teacher pension scheme offered by the government. Each month an amount […]

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Is it permissible to invest in a Sharesave scheme of a bank?

Q: Can you tell if the following two forms of investments are permissible from a sharia perspective.  Intention is to use the schemes as tax efficient vehicles only with a view of separating any impermissible profit and donating it to charity at the end of the scheme. 1. Sharesave – Sharesave scheme of a bank […]

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Is there an Islamic way where you can guarantee percentage of profitability for the investor?

Q: Is there an Islamic way where you can guarantee percentage of profitability for the investor?   الجواب حامدًا و مصليًا و منه الصدق و الصواب A: It is not permitted to guarantee a percentage of profit to the investor.  Rather, the very basis for his eligibility for profit is that he is also exposing himself to […]

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How is Zakat paid on a ‘committee’ scheme between several individuals?

Q: How is Zakat paid on a ‘committee’ scheme between several individuals? I am currently calculating my Zakat for this year and wanted to know how we deal with a ‘committee’ which is a type of loan which is interest free, where there are a number of members and each member pays a certain amount and […]

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I wish for my shares and ISA’s to be passed directly to my wife after death. How do I incorporate this in to my will?

Q: I wish for my shares and ISA’s to be passed directly to my wife after death. How do I incorporate this in to my will? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: When an individual passes away there are two ways that, after meeting debts and expenses of the final rites, ownership of his residual […]

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Can I invest in premium bonds?

Q: Can I invest in premium bonds? The Al-Qalam Shariah Scholars Panel is respectfully requested to advise on the Islamic position regarding premium bonds. Are they a suitable way for Muslims to invest? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: Premium Bonds are not suitable for Muslims to use as an investment […]

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What part of a Guaranteed Investment Certificate is haram?

Q: What part of a Guaranteed Investment Certificate is haram? My questions are about purifying myself because of my investments. I have money in a GIC (Guaranteed Investment Certificate) which focuses on blue chip companies: There portfolio breakdown is as follows: 20% Energy, 10% Conglomerates, 10% Utilities, 10% Telecommunications Services, 10% Mines & Minerals, 10% […]

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