Looking to invest in real estate investment trusts (REITs) but you’re unsure if it’s Shariah-compliant?
Or perhaps you’re not sure how to choose a halal REIT?
Don’t worry.
In this post, I will go through whether REITs are halal, how you can go about choosing halal REITs, and the best halal REITs that you can consider!
Continue reading.
Firstly, are REITs Halal?
REITs are an investment tool that initially became very popular amongst Singaporeans and Malaysians.
These can be both halal or haram.
A REIT is halal only if all Islamic principles are considered from start to finish. There should be no haram dealings involved either before or after.
If the investment is purely halal and no haram activities take place on the property, it can be considered halal.
However, if a property in the REIT has been set up using interest or haram revenue, then the entire REIT will be considered haram. For example...