Sharia Financial Literacy and Digital Investment Practice among Law Students in Indonesia

Abstract

Shocking Line: Access to Sharia-compliant digital investment platforms does not necessarily translate into informed investment decisions, even among students formally educated in Islamic economic law. Purpose of the study: This study examines how Islamic Economic Law students understand digital investment practices through MotionTrade and apply Islamic financial literacy principles, particularly Sharia compliance, contractual transparency, risk management, wealth preservation, and the behavioral barriers influencing their investment decisions. Methods: Employing a descriptive qualitative design with an empirical legal approach, this study involved three purposively selected students and one Sharia Investment Gallery representative at IAIN Kendari, Indonesia. Data were collected through semi-structured interviews, limited platform observations, and documentary analysis, then examined through thematic interpretation and source and methodological triangulation. Findings and discussion: Findings reveal a gap between normative Sharia knowledge and operational investment competence. One student completed transactions before suspending trading, while two others remained non-transacting due to perceived financial risks, difficulties interpreting market information, and uncertainty surrounding electronic contracts. These contrasting experiences demonstrate that Sharia compliance awareness, technological access, and behavioral readiness do not necessarily translate into investment participation. Implication and Contribution: This study proposes a three-dimensional analytical framework integrating normative Sharia literacy, operational investment literacy, and behavioral readiness within ḥifẓ al-māl. It contributes contextual empirical evidence and an integrated socio-legal interpretation of responsible digital investment. The findings highlight the importance of experiential financial education, accessible contractual information, and risk-awareness training that prioritizes informed decisions over trading frequency. Keywords: Behavioral Readiness; Digital Investment; Ḥifẓ al-Māl; Islamic Financial Literacy; Sharia Economic Law.