Salam alaikum
There are some investment platforms that provide islamic account. Basically what they do is not to charge swap fees etc.
I faced one situation with Avatrade. I opened an account and requested to turn my account into Islamic account which they offer for their customers. But then I realized they say they still allow us with leverage. In principle what I know is that we borrow money from the broker to trade with leverage. They told me even if it’s Islamic account, it is not possible to trade without leverage. They call in it interest-free-leverage.
So my question is that how is this possible? I’m going to take a position in my Islamic account and it will be at least 5x leveraged. I will gain or lose 5 times with 1 unit investment. How is leveraged trading possible in shariah rules I didn’t understand.
I checked some of the titles in this forum but the other discussions didn’t convince or give idea about it. Thank you so much for making it clear for us in advance.