Salam,
I am currently saving up to buy a small buy-to-let property. I am probably another 6-12 months away from having all the cash together to purchase it inshallah. In the meanwhile, should I place the amount I have saved into a pot like Wahed or not really? Is there anything I should watch out for? I’m not really clued with investment etc and want something quite straight forward.
Thanks
Just wanted to bump this, in case anyone can help please
Assalamu alaykum. In general investing in stocks/funds (such as through Wahed) is more suited to longer term (i.e. at least 5-10 years). This allows for your money to be able to ride out the dips in the market that can occur in the short term. This is especially true in the current climate, with increased volatility in the market due to the uncertainty of Covid. As you are looking to access your money within the next 12 months, it may be better to place it in a shariah compliant savings account. I believe Gatehouse Bank also offer competitive fixed term savings currently too. That being said, if you were still interested in investing in funds through Wahed, I believe a low risk approach would be your only option as you do not want to take any significant risk with your investment.
I hope this helps. I’m a retail investor like yourself, so possibly Ibrahim or a Mufti could provide further guidance.
JzkAllahkher
Nawaaz