PRINCETON, N.J. — The Prophet of Islam was no stranger to the marketplace. Mohammed's example as a successful trader has been emulated by Muslims for generations.
Since the seventh century, religious scholars have been interpreting Islamic law and establishing acceptable business practices and investment guidelines for Muslims.
Now, they are taking those tenets to the Internet. Dow Jones University, a division of Dow Jones & Co., which publishes The Wall Street Journal, has gathered four highly regarded experts in the field of Islamic law to teach an online course titled "Principles of Islamic Investing."
"While conventional thinking on Wall Street is that religion has no place in investment decisions, the Islamic faith asserts emphatically that it has everything to do with those decisions," said Yusuf Talal DeLorenzo, of Ashburn, Va., an Islamic scholar and course instructor.
Islamic investing is fast emerging as a financial sector.
There are between 4 million and 6 million Muslims living in the United States, and Muslims are the nation's fastest-growing population segment, according to the Macdonald Center for the Study of Islam and Christian-Muslim Relations at Hartford Seminary in Connecticut.
Muslims worldwide have $80 billion to $150 billion to invest, a figure that is growing between 12 percent and 15 percent per year, said A. Rushdi Siddiqui, director of the Dow Jones Islamic Market Index and a course instructor.
The index, established last year, tracks about 650 companies that adhere to Islamic tenets.
"Wealth management is considered a religious responsibility," said Siddiqui, who is also a course instructor.
Most practicing Muslims know not to invest in the "sin" industries — those that produce alcohol, entertainment, pork products, conventional banking services and other vices forbidden by the Koran, the holy scripture of Islam.
They may not know supermarkets and advertising agencies are not acceptable investments because they do not quantify their earnings.
The board of Islamic law scholars that approves companies to be listed on the Islamic Market Index must be able to determine the source of the company's profits. There are no Internet companies in the index because much of their income is derived from advertising, Siddiqui said.
To date, 14 financial institutions have been licensed to offer financial products in the Islamic Market Index. Siddiqui said some of those companies have begun to offer financial products geared to Muslims in Europe and the Middle East, but not yet in the United States.
Saturna Capital Corp., of Bellingham, Wash., offers two mutual funds for Muslims stateside. It is not a Dow Jones licensee.
Youshaa Patel of Chicago said he enrolled in the Dow Jones course because it is an opportunity to align his financial goals with his faith-based goals.