Why can two Shariah boards disagree about the same investment?
Because they may be applying different standards, different ratios, different denominators or a different reading of the same contract.
Common sources of disagreement:
- Which standard is followed, and which edition of it
- The financial-ratio thresholds and what they are measured against
- How a specific contract or structure is characterised
- Whether purification is applied by the fund or left to the investor, and how it is calculated
Disagreement is normal in a field with more than one recognised methodology. InvestHAQ reports the method each fund discloses and does not declare one board correct.
Factual and educational information only. Nothing on this page is financial product advice, a recommendation, or a Shariah ruling. Consider your circumstances and the product's disclosure documents, and seek licensed advice and qualified scholarly guidance before acting.