Investing in a company that has large debt

Question:

As-salamu alaykum,

I have a question about investing in a company such as Tesla Motors that has a large amount of debt but with a good cause such as making clean electric cars. I would like to invest in such a company; however is it halal? Thank you.

Answer:

Halal investing seeks to eliminate stocks of companies that have high debt (sometimes referred to as highly leveraged).

Shaykh Senad Agic

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