 Let us answer a very interesting question in this module. What should we do when a Sharia compliant stock you hold becomes non-compliant? You know, I have bought a stock which was Sharia compliant when I bought it. So I checked at the sectoral screen, I found out that this stock was not in financial services. So any stock on a stock market in America, in UK, if that stock comes from financial services industry, we exclude it. So this stock was not from financial services industry. This stock had debt equity ratio of less than 33%. This stock had cash plus interest bearing securities divided by market cap less than 33%. Receivables divided by market cap was less than 33% and impermissible income was just 1%. So I was happy. I bought this Sharia compliant stock. Three months into my investment, one day I get up, I log into the system and I find that my stock has actually become non-compliant. Because of changes in the market, the market debt equity ratio is now 45% for example. So this company somehow took some decisions. It borrowed a lot of money from the market. And as a result of that, this company became highly leveraged and that had an impact on the debt equity ratio. The company became non-compliant. What should I do? The simple answer is to sell the stock back in the market. So this is number one. You have to get rid of the stock because this stock has become non-compliant. But it's not that simple. The question would be, what are you going to do with the income, with the money you have earned from that stock during that period? And this is something very important to understand. Say, if you bought the stock for $50 and you bought 1000 stocks, you actually had an investment of 50k. And at that time, the stock was Sharia compliant. So three months down the road, the stock has become non-sharia compliant. And its price actually has gone up to $75 and still you are selling 1000 stocks. So you will have 75k, a profit of 25k. We ignore transaction costs, etc. What are you going to do with your profit of 25k? Should you be giving away part of this money, 25k to a charity? Do you have to purify your income at that point in time? Guess. Many of you would say yes. But if you come to a Sharia advisor like me, I can save a lot of money for you. Now, in the case of investing in shares and stocks of listed companies, the requirement is that in case of impermissible income, you should be purifying the dividend only. If during this period, there is no dividend paid by the company and all the 25k gain to you is actually in the form of capital gain hurrah. You do not have to purify your income. This has purely come from the increase in the price of the stock. So, technical advice in matters related with Sharia is very sophisticated. However, if during this time dividend was paid, then you would be actually purifying the dividend income on the basis of the impermissible income at that time. Not because the stock is Sharia compliant or not. That decision you have already taken at that point in time, the stock is Sharia compliant. Dividend purification is with respect to the fourth screen. If 2% of the income of the company was impermissible, you would be giving away 2% of the dividend income when you receive it. So, when a stock becomes non-compliant, you have to get rid of it and if there is any capital gain, Alhamdulillah, this is good for you. Your intention was to buy a Sharia compliant stock. You held it until it remained Sharia compliant, until it became Sharia non-compliant. During that time period, this is Halal for you to hold it and whatever income you have received, this is Halal for you as well. Now, this is important. Now, there are two types of breaches of the Sharia limits. One is advertent breach and the other one is inadvertent breach. In this question and we will come to this question again as well, you bought this stock as a Sharia compliant stock. You did all your due diligence. Due to change in the market conditions, this stock became non-compliant i.e. it breached the limits. This is called as inadvertent breach. If you had bought a stock right from the beginning which was not Sharia compliant but you bought it, that would be considered as an advertent breach. The implications of these two are very different from a Sharia viewpoint and we might refer to these implications in one of the forthcoming modules.