Is it permissible to take money from a friend to invest it with a profit share of 30% for him and 70% for me, and the loss is borne by him, with the intention of returning the full capital plus an increase if a loss occurs?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
The contract stipulates that it should not include a condition guaranteeing the principal unless there is negligence or transgression. Otherwise, it would be a loan that brings benefit, which is unanimously prohibited. However, if the Mudarib voluntarily guarantees the principal after the contract, without a prior condition or custom, there is no objection to it. Therefore, returning the principal with additional compensation is permissible if it is purely voluntary and not stipulated by the capital owner.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/93583
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- Ftawy
- Original fatwa ID
- 93583
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
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- Read the full answer on Ftawy