Could you provide a brief journey of how you arrived where you are today?
I decided to enter the Bombay Stock Exchange (BSE) in 1989. I was the first Muslim to stand on the floor of the BSE. People were surprised to find a Muslim in the exchange then, as it was a taboo for Muslims to trade in stocks.
Five years later I decided to go to the UK and subsequently settled down there. From my experience at BSE, I saw huge market potential for an Islamic financial product in the west. This was the time when Islamic finance institutions were setting up Islamic banking windows. But there was hardly anything available for small retail investors. The struggle was worthwhile in making me what I am today – the managing director of Parsoli Corporation, a Rs100 crore company.
What does your role involve?
I would like to clear the confusion in the minds of Muslims as far as investing in stock markets are concerned. Most Muslims are still apprehensive, as they link it with speculation, which is prohibited in Islam.
What is your greatest achievement to date?
To have revived the company after the total collapse due to the communal riots that took place in Ahmedabad in 2002.
Which of your products/services deliver the best results?
Stockbroking and portfolio management are the best for Parsoli. We concentrate on identifying companies where key success factors are present; factors which our long experience in the industry has shown to be necessary conditions for sustained outperformance.
What are the strengths of your business?
A very large number of Muslims in India are not aware of Shariah compliant guidelines. Conducting educational seminars is a way of increasing this awareness. Parsoli offers a range of services tailored to investors’ individual needs, such as individual scrips search, ongoing fund monitoring, asset class strategy study or full service consulting.
What are the factors contributing to the success of your company?
Honesty and treating all employees as partners of growth are crucial. Another important factor is our relentless effort towards achievement. Looking at the growing popularity and impressive performance of the overall group, Parsoli plans to develop new Shariah complaint Islamic financial products. We also intend to increase our presence both globally and domestically by opening up subsidiary branches in various parts of the world to reach out to a higher number of Muslims and service a larger portion of the global Muslim society. In addition, we aim to bring the Muslim population into the mainstream financial sector and channel its surpluses into the economy, by providing Muslims with better returns and uplifting Muslim society as a whole.
What are the obstacles faced in running your business today?
I do not believe there are obstacles, but you need to create a niche and if you carve yourself to the requirement, you will never face any obstacles. Obstacles open new avenues of growth.
Where do you see the Islamic finance industry, maybe in the next five years?
In the next five years, Islamic finance will be a US$7 trillion industry.
Name one thing you would like to see change in the world of Islamic finance?
For Islamic finance to be successful, players should first be committed to the Islamic principles of social and economic justice. There should also be fair and equitable distribution of wealth. In addition, the system of zakat and other Islamic charitable deeds must be structured so as to actually reach the poor. The distance between the haves and have nots should also be reduced. Unless we see these changes, the pursuit of Islamic finance will just be a distant dream.
Parsoli is a non-banking finance company approved by the Reserve Bank of India. The prime motivation to set up the company was to draw on the vast and untapped potential of Muslims in India who require Shariah compliant financial products.