Shariah Parameters on Islamic Exchange-Traded Fund (ETF) Based on Gold and Silver: A Legal Perspective on the Liabilities of Shariah Advisers in Malaysi

Abstract

Gold and silver are ribawi items. Thus, any dealing with these items requires strict adherence to the Shariah principles governing ribawi transactions. Methods of dealing with gold and silver are clearly mentioned in many traditions of the Prophet (pbuh), inter alia: “Don't sell gold for gold unless equal in weight, nor silver for silver unless equal in weight, but you could sell gold for silver or silver for gold as you like.”