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Hidayaa offers world-class trading services in Shariah-compliant stocks in Indian Stock Market. Hidayaa ensures you make the best out of the Indian stock markets without compromising on Islamic values.

Picking the right stocks at the right time is all that is required to become a successful investor.  Hidayaa carries out extensive fundamental and technical analysis of listed companies to ensure that you pick the right stocks at the right time for your investments. A repository of over 15000 companies is maintained and researched by Hidayaa. At the same time, Hidayaa ensures that the stocks you pick are Shariah-compliant. Hidayaa carries out the following screening and analysis of stocks based on principles laid down by the Shariah Board at Hidayaa. 

  • Excludes any stock whose company's primary business is impermissible according to Shariah law, for e.g., Alcohol, Tobacco, Pork-related products, Conventional Financial Services (banking, insurance etc), Weapons & defense, Entertainment (hotels, casinos/gambling, cinema, pornography, music, etc.)

  • Screens for Acceptable Financial Ratios After filtering companies with unacceptable primary business activities, the remaining stocks are evaluated according to several financial ratio filters. The objective is to filter companies with unacceptable levels of debts or interest income. All the following ratios must be less than 33%
    • Total debt divided by trailing 12-month average market capitalization
    • The sum of a company's cash and interest-bearing securities divided by trailing 12-month average market capitalization

The screening process is carried out on a quarterly basis to ensure that new eligible stocks are included and stocks that have become ineligible are excluded.

Hidayaa recommends such trading practices which are permissible as per Shariah viz., short-term, medium-term and long-term investments in Equity.

 
 
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