Dr. Ali Salehabadi, Chairman of the Iranian Association of Islamic Finance, said that the Association was established following the establishment of the Sharia Committee of the Securities and Exchange Organization to develop financial instruments to meet the needs of the capital market. At one time, there were many ambiguities in the stock exchange organization in terms of jurisprudence and the need to form a research-oriented structure such as the Sharia Committee and the Islamic Finance Association was felt. Fortunately, today this Association is the first rank of newly established scientific associations.

He stated now is the time to establish an NGO outside the official and administrative structure of the country to develop Islamic financial markets, including the stock market, capital market, banking system, Islamic banking system and even insurance.

Salehabadi mentioned according to the agreement made with the President of the Securities and Exchange Organization and Imam Sadiq University, DBA and MBA courses are going to be held by this Association and the capital market principles certificate is awarded to MBA participants and the capital market principles certificate and the capital market analysis certificate are awarded to participants in the DBA course.

Then Dr. Mohammad Tohidi, a faculty member of the Islamic Finance Department of Imam Sadiq University, said market practitioners are divided into three general categories: investors, arbitrators and speculators.

Investors are usually cautious, risk-averse, and long-term investors and their emphasis is usually on the core components of a company. Arbitrators, on the other hand, are people who, although cautious and risk-averse, are experts in recognizing the intrinsic value of securities and usually have a return-to-average strategy. That is, they act in a way that bring the value of the stock closer to its intrinsic value.

He went on to say that speculators usually seek to make a profit due to market fluctuations and benefit from the difference in buying and selling prices and have more emphasis on technical analysis and news. Speculators believe that due to the efficiency of financial markets, there is no need to analyze the fundamental components of the company and all the mentioned components are reflected in the price and if they analyze the price trend, can obtain basic information to decide based on it.

Dr. Tohidi pointed to two criticisms of speculation, stressing the first one is to create speculative bubbles that are more or less seen in different markets and usually the speculators are known as the main blameworthy.

The second one is sharp price fluctuations, which is due to short trade of speculators leading to severe price fluctuations in the short term.

In terms of Sharia, speculators are divided into two categories: rational or conscious speculators and irrational or unconscious speculators. The first group (rational speculators) in the financial markets are usually known as the most mysterious market traders and their most important feature is market manipulation. These groups can drive the market and disrupt supply and demand.

Irrational speculators follow rational speculators. In fact, rational speculators by creating a trend in the market whether real or false cause price manipulation and deviation and by doing so, other traders join them. This is like dropping a snowball from the top of a mountain, so the result is a bubble in the financial markets. Generally if speculators make a profit by collusion this act is forbidden in terms of Sharia.