Is Option Trading Halal?

Fatwa ID: 03789

Answered by: Maulana Shadman Ahmed



Is option trading halal?


بِسْمِ اللهِ الرَّحْمنِ الرَّحِيْم

In the name of Allah, the Most Gracious, the Most Merciful



Option tradings are not permissible as they are based on uncertain future events (gharar) and gambling.[1] The Prophet SAW forbade transactions determined by throwing stones and transactions which involve uncertainty.[2]



Only Allah knows best

Written by Maulana Shadman Ahmed

Checked and approved by Mufti Mohammed Tosir Miah

Darul Ifta Birmingham



[1] Fiqh al-Buyu, volume 1, page 287 -289


[2] Muslim 1153


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