The emergence of Islamic economic system has brought about the need to apply Ijtihad in stock screening. It becomes inevitable because the conventional ways of stock trading is prohibited under Islamic Mua’malat. So, Islamic Capital Market has to be critically studied based on Islamic jurisprudence and Shari’ah provisions. The aim of this paper is to critique the application of Ijtihad in stock screening process under Islamic economic system.

The emergence of Islamic economic system has brought about the need to apply Ijtihad in stock screening. It becomes inevitable because the conventional ways of stock trading is prohibited under Islamic Mua’malat. So, Islamic Capital Market has to be critically studied based on Islamic jurisprudenc...