Conditions of the Correct, Lawful Mudarabah

Question:
We begin with a message from Abu Ibrahima, who resides in Riyadh. He says: In this time, speculation has become widespread. I have a good sum of money that I want to invest in a mudarabah. So what do you advise me to do, may Allah reward you, so that this profit is valid and free from any riba (usury or interest), may Allah reward you?

Answer:
In the name of Allah, the Most Gracious, the Most Merciful. Praise be to Allah, Lord of the worlds. And may Allah send prayers and blessings upon our Prophet Muhammad, and upon his family and all his Companions. As for the correct, lawful mudarabah, which is agreed upon as permissible, it is that you give money to someone you trust to sell with and buy, and the profit is shared between you according to what you agree upon. This is the correct mudarabah: he sells with it and buys in lawful goods. He does not use it in gambling or in maysir (gambling) or in riba (usury or interest); rather, he uses it only in lawful transactions. And whatever profit is obtained is shared between you according to what you stipulate. This is the correct mudarabah.