Options trading

In finance, an option is a contract which gives the buyer (the owner or holder of the option) the right, but not the obligation, to buy or sell an underlying asset or instrument at a specified strike price prior to or on a specified date, depending on the form of the option. The strike price may be set by reference to the spot price (market price) of the underlying security or commodity on the day an option is taken out, or it may be fixed at a discount or at a premium. The seller has the corresponding obligation to fulfill the transaction – to sell or buy – if the buyer (owner) "exercises" the option.

204510

Options trading
Is the ruling mentioned in the attached link, which states that Sayyid Ali al-Sistani prohibits trading in options contracts, based on reliable sources?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answer updated 6 months ago

He has given the option of Musalaha (mutual agreement) to make the transaction lawful. Please get the exact translation of the text to understand the rules of it.

Wassalam.
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204152

Employment . Software . Options trading
Is it permissible to work as a software engineer at a trading firm, where my role would be to develop the systems and tools used by the company for various types of trades, which may also include binary options?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 7 months ago

You as a Muslim should be very careful not to be involved in unlawful business and your software should not be used in any type of transactions which are not permissible in Islam. Binary options are considered by many as a form of gambling rather than an investment because of their negative cumulative payout. 
'Wassalam.
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193059

Cryptocurrency . Shi'a . Marja' . Options trading
Could you provide the names of Shi'a Maraje' who allow trading in cryptocurrency derivatives or futures?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 1 year ago

List of Shia great scholars who allow cryptocurrency dealings include Ayatullah Sayyed Musa Shubayri Zanjani in Qum, and Ayatullah Shaikh Baqir Ayrawani in Najaf Ashraf and Ayatullah Shaikh Hasan Jawahiri in Najaf Ashraf. Late Ayatullah Sayyed Sa'eed Al-Hakeem in Najaf Ashraf allowed also dealing with crypto currencies.

Wassalam.
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190876

Options trading
Is binary trading permissible in Islam? If it is not, could you please provide an explanation for the ruling?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 1 year ago

Binary option is not permissible because it is a form of gambling and it is not a real trading. Binary option is based on betting in which a zero-sum game exists and those who make money from it take that money from money lost by other dealers.

Wassalam.
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179140

Stock . Investment . Options trading
Is it permissible to trade in futures and options in the stock market?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 1 year ago

According to many leading scholars Ulama, it is permissible to trade in Futures and Options in the stock market as far as the shares or binds deal with lawful business only.

'Wassalam.
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104002

Options trading
Is option trading in the stock market permissible considering the fact that it is a zero-sum game?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 3 years ago

If it is a clear trade with out any gambling, then it is allowed like any other trade.

Wassalam.
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126207

Cryptocurrency . Options trading
Is it allowed to trade cryptocurrency futures if it is done on the basis of a strong study and analysis of the market?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 3 years ago

As such type of dealings are still not very clear for many scholars, some of our Maraaji' of Taqleed have not yet given any verdict about it, but there are Maraaji' who say that it is allowed to deal with cryptocurrency as far as it is a business not gambling, and has no harm on people and goes according to the rules and regulations of your country.

Wassalam.
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121583

Stock . Options trading
Is it allowed to engage in futures and options trading for permissible stocks?
Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answer updated 4 years ago

As far as the stocks are permissible, and there is no wrong done to anyone and no gambling is involved, we can't say that it is not allowed.

Wassalam.
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