The Investment Strategy of a Muslim

The Investment Strategy of a Muslim

There are numerous investment strategies, and their spectrum is wide, ranging from short-term to long-term, from aggressive to conservative. Moreover, today, investing in a variety of financial instruments such as investment funds, precious metals, and cryptocurrencies can be done from the comfort of your own home with just a few taps on your smartphone screen. The entire global market is at our disposal. There are many financial advisors in this market recommending various recipes to increase their clients' wealth. Modern personal finance experts advise adhering to the "ideal" 50-30-20 rule, where 50% is for regular expenses, 30% for pleasures and unexpected expenses, and 20% for investing. However, it is well-known that one should start with 10%.

However, in all this diversity, there is a strategy that can be called "contemplative." This is the strategy that the Prophet, may Allah bless him and greet him, informed us about. He said:

Once, a man who was in the desert heard a voice coming from a cloud saying, "Irrigate the garden of so-and-so," and then the cloud moved towards that direction and poured rain on a black stony piece of land. After the rain, all the water gathered into one stream. The traveler followed the stream and eventually saw a man standing in his garden, directing the water with a hoe. He asked the man, "O servant of Allah, what is your name?" The man replied, "My name is so-and-so." The traveler said, "I heard a voice from the cloud which poured the rain, saying, 'Irrigate the garden of so-and-so,' so what do you do to deserve this?" The man said, "Now that you ask me, I will tell you. I divide the yield into three portions: one-third for Allah, one-third for my family, and one-third I invest back into the land." (Muslim)

In another version of this hadith, it is reported that the man said, "...and one-third I give to the poor, the beggars, and the travelers."

In this way, distributing resources in a 30-30-30 manner did not diminish his wealth at all; on the contrary, all circumstances worked to increase his "portfolio." After all, charity is a path to forgiveness and an increase in Divine blessings. Allah says: "Indeed, the men who practice charity and the women who practice charity and [they who] have loaned Allah a goodly loan - it will be multiplied for them, and they will have a noble reward." (Quran 57:18). Allah has also promised them forgiveness and a great reward (Quran 33:35).

Undoubtedly, one should and must start with small deeds, reinvesting at least 10% of their earnings for "eternity," and remember that "The worldly life is only amusement and diversion." (Quran 57:20).

By using the services of the cryptocurrency exchange "quan2um," you have a wide range of options for making charitable donations. In the "Charity" section, you can choose and support charitable foundations, provide personal assistance to people in difficult life situations, pay zakat (a pillar of Islam), and give sadaqah to help fellow believers. Invest in eternity! May Allah accept our donations and increase our wealth.

Allah knows best!

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