Compare the best Islamic trading accounts & brokers in 2024

Many stock brokers now offer Islamic accounts that let you invest in a way that complies with sharia law. This page compares the best ones and tells you what to look out for.
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Updated: May 13, 2024
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Adhering to Islamic principles and beliefs is a vital consideration for many traders. This comprehensive guide provides a list of the best Islamic trading accounts and halal trading platforms that cater to the unique needs of Muslim traders worldwide.

Our team of experts has thoroughly tested and ranked these Islamic trading accounts, evaluating factors such as compliance with Sharia principles, the availability of swap-free accounts, transparent fee structures, and the overall trading experience. 

Each platform has undergone rigorous testing and analysis to ensure that it meets the highest standards of Islamic finance, providing traders with a seamless and ethical trading environment. 

Whether you’re an experienced trader seeking a halal trading platform or a newcomer exploring the world of Islamic trading, use our guide to help find the best broker for your needs.

Best Islamic trading brokers for 2024

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  1. eToro: Best for beginners, copy-trading & demo-account
  2. Plus500: Best for international trading*
  3. Public: Best for sharing beginner trading ideas

What are the best halal accounts & trading brokers?

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Use one of the top all-round trading platforms by clicking through the links in the table below. These options have been chosen by our financial experts and you can get more information on each in our reviews section. Otherwise, keep reading to learn more about how to choose between them. 

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1
Min. Deposit
$ 100
Best offer
User Score
9.9
Up to $240 bonus!
Deposit with ACA, Wire, Pay with my bank
Invest for dividends and get payout on stocks on Ex-Dividend day
Start Trading
Payment Methods:
Bank Transfer, Debit Card, PayPal, Credit Card, Wire Transfer
Full Regulations:
CySEC, FCA

eToro Service ARSN 637 489 466. AFSL 491139. Capital at risk. See PDS and TMD.

2
Min. Deposit
$ 100
Best offer
User Score
9.9
Trade +2000 CFDs on Shares, Options, Commodities & more
Unlimited risk-free Demo Account
0 commissions & attractive spreads with up to 1:5 leverage
Start Trading
Payment Methods:
Bank Transfer, Debit Card, PayPal, Credit Card, Visa, Mastercard, American Express, Trustly, Apple Pay, Google Pay, Discover, Bank Transfer: SEPA, Bank Transfer: FPS, skrill
Full Regulations:
ASIC, FCA, FSA, MAS, CySEC #250/14

Buy or sell stock CFDs with Plus500. 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

3
Min. Deposit
$ 0
Best offer
User Score
9.0
Get insights from millions of investors, creators, and analysts
Build your portfolio of stocks, ETFs, and crypto–all in one place
No minimum deposit
Start Trading
Payment Methods:
Debit Card, Wire Transfer, Check, Bank Wire
Full Regulations:
Cryptocurrency execution and custody services are provided by Apex Crypto LLC (NMLS ID 1828849) through a software licensing agreement between Apex Crypto LLC and Public Crypto LLC. Crypto trading on Public platforms is served by Public Crypto LLC and offered through APEX Crypto. Please ensure that you fully understand the risks involved before trading.

Top 7 Islamic trading brokers, reviewed

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1. eToro. Best for beginners, copy-trading & demo-account

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0% commission

Fees

$100

Minimum deposit

4,000

No. assets

Yes

Demo/virtual account

Pros & Cons

Great for beginners, simple to set up and get started Competitive, industry-leading commissions Popular ‘Copy Portfolios’ function lets you follow top traders Excellent customer service, with live chat support provided
Comparatively high fees for withdrawals and account inactivity Does not integrate with the MetaTrader platform High spreads on some assets

Overview

We love eToro because it’s a trading platform built with beginners and casual traders in mind. The platform combines an interactive, social trading experience with an easy-to-use interface, making it ideal for novice traders.

The far-reaching catalog of more than 5,500 stocks and ETFs includes big names like Apple and Tesla, as well as smaller companies with high growth potential. You can start trading with as little as $10 using fractional shares if you’re on a tight budget.

One feature we particularly appreciate is the ability to interact with eToro’s 35 million users on any asset, market, or portfolio page. If you find traders whose strategies match your risk tolerance, you can copy their portfolios automatically using eToro’s flagship copy trading functionality. This is a great way to learn and potentially benefit from the expertise of more experienced traders.

If you don’t feel comfortable investing your cash straight away, you can use a free demo account, credited with $100,000 virtual dollars. This offers plenty of opportunities to try out a trading strategy that works for you across stocks, crypto, and options trading markets.

Highlights

Visit eToro eToro Review

eToro Service ARSN 637 489 466. AFSL 491139. Capital at risk. See PDS and TMD.

2. Plus500. Best for international trading*

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From 0.08%

Fees

$100

Minimum deposit

3,000

No. assets

Yes

Demo/virtual account

Pros & Cons

Free demo account for every user Secure broker, licensed by top-tier regulators Wide variety of CFDs to trade Several good risk management tools
No support on trading information and education Website isn’t brilliantly designed to help users find answers to their questions No MetaTrader trading platform compatibility

Overview

We love Plus500 because it is one of the industry’s most transparent and reliable brokers. Its fees are clear and you’ll know exactly what you will be paying before you make a trade. Its technology driven platform gives access to futures contracts for some of the biggest indices.

Plus500 has something for all types of traders, no matter what level of experience. Its low margin requirements (starting at $100) and different contracts make it a top choice for day traders. At the same time, its trading academy is packed with educational content, perfect for beginners just starting. 

One of the features we like most about Plus500 is its bonuses. Not only does it have a low minimum deposit of $100, but you’ll also have the option to receive a bonus the first time you add funds to your account, so you can stretch your money a little further.

For accurate instrument availability, visit plus500.com.

The fees: Plus500 charges a commission of $0.49 per Micro contract and $0.89 per Standard contract (per side). There is an Auto-Liquidation fee of $10 per contract. Other exchange fees may be applicable and can be found on the CME group website. 

*Based on a comparison of 60+ leading brokers and trading platforms.

Highlights

Visit Plus500 Plus500 Review

Buy or sell stock CFDs with Plus500. 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

3. Public. Best for sharing beginner trading ideas

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public.com logo

Spreads

Fees

$20

Minimum deposit

9,000

No. assets

No

Demo/virtual account

Pros & Cons

Commission free stock and ETF investing Share and compare your portfolio on a social trading platform Trade crypto, fractional shares, and alternative investments
You can't trade on margin or use leverage No forex, options, funds, metals, or bonds

Overview

We love Public because it’s a social platform where you can share trading tips and get ideas from other people. Public offers 9,000+ financial instruments, including cryptocurrencies and stocks from around the world.

Alongside a community of other investors all sharing their ideas, Public offers real time news and information so that you can see the full picture before you invest. And the assets don’t just include your run-of-the-mill assets; you can make alternative investments in things like handbags and comic books as well.

The fees: There are no fees for investing in stocks during regular trading hours in the US – 9.30am-4pm EST. There is a $2.99 fee for trades outside of regular hours.

Highlights

Visit Review
Cryptocurrency execution and custody services are provided by Apex Crypto LLC (NMLS ID 1828849) through a software licensing agreement between Apex Crypto LLC and Public Crypto LLC. Crypto trading on Public platforms is served by Public Crypto LLC and offered through APEX Crypto. Please ensure that you fully understand the risks involved before trading.

What is an Islamic broker?

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A trading platform that complies with Islamic ethics and principles so that Muslims can invest in a way that matches their faith. Usually, a stock broker does this by offering a specifically Islamic account that doesn’t charge interest or any hidden fees alongside its regular services.

How do halal stock brokers work?

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Halal stock brokers cater to the needs of Muslim traders by providing Islamic trading accounts that strictly adhere to the principles of Islamic finance and Sharia law. Here’s how these brokers operate.

  • Swap-free accounts. One of the key features of Islamic trading accounts is the availability of swap-free accounts. In conventional trading, overnight positions are subject to rollover swap points or financing fees. However, Sharia law forbids the paying or receiving of interest, as it is considered haram (prohibited). Swap-free accounts eliminate these interest-based charges, ensuring full Sharia compliance.
  • Interest-free. Islamic trading accounts are structured to be completely interest-free. This means that Muslim traders can engage in activities like stock trading, trading CFDs, and other financial instruments without violating the Islamic prohibitions against interest-based transactions.
  • Leverage and margin. While leveraged positions and margin trading are permitted under Islamic finance, they are subject to specific rules. Islamic accounts often have separate procedures for handling leverage, ensuring that no interest is charged or paid on the borrowed funds.
  • Asset classes. Halal stock brokers carefully screen the asset classes they offer to ensure that they comply with Sharia law. Investments in industries like gambling, alcohol, or conventional banking may be restricted or prohibited altogether.
  • Oversight. Many brokers with Islamic accounts have dedicated Islamic scholars or advisory boards to oversee their operations and ensure strict adherence to Sharia principles.
  • Additional features. To cater to Islamic traders, brokers may offer additional features like swap-free demo accounts, social trading, copy trading, and educational resources focused on Islamic trading principles.
  • Costs and fees. While Islamic trading accounts avoid interest-based charges, Muslim traders may still be subject to other trading costs, such as spreads, commissions, or fees that are compliant with Sharia law. 

What should I look for in a halal trading platform?

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The most important thing to look out for is obviously how well it complies with Islamic law. However, there are lots of other things that you should think about when choosing a broker to make sure you get the best experience. Here are the top factors to consider.

Design and ease of use

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You want to be able to find all the information you need and navigate the site as easily as possible. For a start, every broker should have its Islamic trading account rules posted somewhere that’s easy to find so that you know what you’re getting into. Platforms that have an app might be the best option if you want a convenient way to invest. 

Demo account

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A demo or ‘virtual’ account is a feature that lets you trade without putting your capital at risk. It’s a great way to practice on the real stock market without the danger of losing a lot of money while you’re learning how it works. Any broker worth its salt should offer this feature and turning it on and off is usually as simple as flicking a switch in your account settings.

Low fees 

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Brokers make their money by charging fees on actions that you take, be that on trades, deposits and withdrawals, simply holding money in your account, or a combination of all three. The lower the better, but be aware that Islamic accounts might be charged slightly higher fees than regular ones. 

This is because of ‘overnight fees’, which are interest payments charged on open CFD positions at the end of every trading day. Islamic accounts aren’t charged these fees so the broker often charges a bit more for other tasks to make up the difference. The important thing is to make sure there are no hidden fees and that everything you have to pay is clearly stated when you sign up.

Here are the fees charged by the top three Islamic trading accounts:

Asset eToro fees Plus500 fees Eightcap fees
Cryptocurrencies 1% From 2% Up to $3.5 RT
Commodities From 2 pips From 0.04% Up to $3.5 RT
Currencies From 1 pip From 0.8% Up to $3.5 RT
Indices From 0.75 pts From 0.7% Up to $3.5 RT
Stocks 0% commission From 0.08% Up to $3.5 RT
Stock CFDs 0.15%
ETF CFDs 0.15%
View more > eToro > Plus500 > Eightcap >

Small spreads

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Like with fees, the spread is a way for brokers to make money. The spread is the difference between the buy and sell price of an asset, the wider they are, the more of a cut the broker is taking each time. Small, or ‘tight’ spreads are best but, again, they are an area where Islamic accounts might have to pay a bit more.

You should shop around for the best value, which means looking for the smallest spreads. In general, though, the broker has to make money somewhere and so you have to decide whether you want to pay more in fees or pick a platform with wider spreads. 

Here’s a look at the spreads for the three best Halal trading accounts:

Product eToro spreads Plus500 spreads Eightcap spreads
Stock CFDs 0.15% 0.10% From 1.2 pts
ETF CFDs 0.15% 0.10%
Forex CFDs From 1 pip 0.8 pips From 0.0pips
Crypto CFDs 1% 2% From 0.5%
Index CFDs From 0.75 points 0.20% From 1.2 USD
Commodity CFDs From 2 pips 0.50% From 0.12 USD
View all tradable assets > eToro > Plus500 > Eightcap >

Regulation

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You should always pick a regulated broker, as they offer the most protection for your money in case anything goes wrong. You can also judge a platform by its reputation among its existing customers. Online user reviews are a great place to get a feel for that reputation, while our own extensive reviews can help as well.

Region eToro regulators Plus500 regulators Eightcap regulators
Africa FSA
Asia
Australasia ASIC ASIC, FMA ASIC
Europe FCA, CySEC FCA, CySEC FCA, CySEC
International
North America FinCEN
South America
View more > eToro > Plus500 > Eightcap >

User reviews

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Insights from existing users can be an excellent way to help decide if an Islamic stock broker is worth signing up for or not. Reading reviews from real customs on sites like TrustPilot can often give you information not available anywhere else. You can find scores for the top 3 Sharia stock brokers in 2024 using the table below:

Review source eToro rating Plus500 rating Eightcap rating
Trustpilot 4.4 4 4.3
Google Play Store 4.1 4.3 4.1
App Store 3.8 4.1 3.8
View more > eToro > Plus500 > Eightcap >

Shares available to trade

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You want to pick a platform that lets you buy or sell shares in any company that you’re interested in.  Every broker is going to offer the most popular companies, like Google or Facebook, but if you have a particular business or industry you want to invest in then check if the broker offers those shares before you start.

Remember too that there are some companies that don’t comply with Islamic investing principles themselves. Putting money in any company that makes the majority of its income through interest, or from anything that’s considered haram, such as gambling or pork for example, isn’t allowed. The ideal broker would flag up these companies to help you.

Research tools

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As it’s so important for the Islamic investor to be able to judge a company’s ethics and how it makes its money, the ability to research them in more detail is crucial. A platform with its own stock screener, or one that lets you dive deeper into balance sheets can be a huge help. 

That’s because the rules aren’t completely black and white. Most scholars accept there is a bit of leeway and so a company that makes a small amount of money through unislamic practices – less than 5% from forbidden products is a good guideline – is an acceptable investment. 

Trading tool eToro tools Plus500 tools Eightcap tools
Charts Yes Yes Yes
News feeds Yes Yes Yes
Analyst recommendations Yes Yes Yes
Fundamental analysis No Yes Yes
Financial calendar Yes Yes Yes
MetaTrader integration No No Yes
View more > eToro > Plus500 > Eightcap >

Trading options

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You should look for a broker that best matches up with how you plan to trade. There might be fewer options for a halal broker – future and options trading might not be permissible, for example – but Islamic investors can still use advanced features like leverage as long as it’s provided in a specific way that charges no interest.

Account type eToro accounts Plus500 accounts Eightcap accounts
Trading platform Yes Yes Yes
Crypto staking Yes No No
Crypto wallet Yes No No
Money management Yes Yes Yes
Spread betting broker No No No
View more > eToro > Plus500 > Eightcap >

Available features in your jurisdiction may be different

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Quick answers to key questions

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Do brokers charge commissions or fees for trading Sharia stocks?

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Yes, almost every broker charges fees of some description. The fees for Sharia accounts might be a bit higher than for regular accounts with the same broker as those accounts won’t be charged any overnight interest fees. 

Do I have to verify my identity with a stock broker?

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Any regulated broker that complies with anti-money laundering laws should ask for a form of photo ID to verify your account before you can trade. These KYC (Know Your Customer) regulations are standard practice.

Can I buy multiple stocks with a broker?

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You can own as many stocks as you like, as long as they comply with Islamic law. The only limit to the number of stocks you can own is how much money you’re willing to invest.

Do I need any extra software to use an Islamic stock broker?

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Most platforms let you trade through their website or mobile app. In rare cases, you will have to download an extra piece of software, although it’s more common for forex trading rather than stocks and shares. The software is usually MetaTrader 4 and is fairly simple to get to grips with.

Should I use a broker to buy and sell sharia stocks?

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We always recommend a broker as the best way to own shares and that’s no different for halal investing. Brokers are easy to use even for a beginner and come fairly cheap with lots of different trading options.

Still undecided?

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To help you decide on a sharia broker we’ve summarised a list of the main pros and cons below. After that, there are a couple more questions for you to consider before you sign up.

Pros

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  • You can invest cheaply with as much or as little money as you like
  • Specialist Islamic accounts let you invest in a way that complies with your faith
  • Stock screeners are available so that you can easily find out which companies comply with Sharia law

Cons

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Choose a reliable broker

Should I buy Sharia stocks now?

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Generally investing in order to build your wealth over time is a good idea. Sharia investing is not only ideal for Muslims, but its core tenets of putting money in companies with ethical business practices and low debt is a good starting point for investors of any faith.

As with any investment, the exact timing depends on the price of the stocks you’re interested in and the state of the market as a whole. It also depends on whether you have a long or short term view, as the shorter the timeline the less a business’s fundamentals are a concern and it’s all about analysing price patterns to take advantage of small changes.

Whichever camp you fall into, staying on top of the latest news is important. Then you can use that information to influence your buy or sell decisions. Our analysts regularly take a look at the top performing companies and you can use their work to help shape your own research.

Where can I learn more about Sharia stock market trading?

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Right here on Invezz. To start investing straight away you just have to head to the table above and pick a broker. Otherwise, you can take one of our stocks courses to learn about building a long term investment strategy first, or browse through the top halal stocks as chosen by our financial experts.

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Sources & references
Risk disclaimer
James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.
Prash Raval
Financial Writer
Prash is a financial writer for Invezz covering FX, the stock market and investing. For over a decade he has traded spot FX full time while... read more.