Future Trading is Haram ?
yup ... just because you don't like it doesn't make it halal ...
Futures trading is considered haram (forbidden) in Islamic finance and law (Shariah) for several reasons:
1. *Speculation*: Futures trading involves speculating on the future price of an asset, which is considered a form of gambling (Maysir). Islamic law prohibits gambling and any transactions that involve excessive uncertainty (Gharar).
2. *Lack of physical possession*: In futures trading, the underlying asset is not physically possessed or exchanged, which goes against the Islamic principle of ownership and possession (Qabadayn).
3. *Excessive leverage*: Futures trading often involves high levels of leverage, which can lead to excessive debt and financial risk, contradicting Islamic finance's emphasis on prudent risk management and debt avoidance.
4. *No inherent value*: Futures contracts have no inherent value and do not represent a tangible asset, which conflicts with Islamic finance's focus on real economic activity and asset-backed transactions.
5. *Potential for exploitation*: Futures trading can involve exploitative practices, such as manipulating prices or taking advantage of asymmetric information, which goes against Islamic ethics of fairness and justice (Adl).