I would have to put this question in a historical perspective. First it is not Islam that makes people Bad, however, it is Religious Fanaticism which includes Christianity, Judaism, Islam, Hinduism that makes a human being act in a irrational manner.
If it were me, I would have to Remind my child that a Christian people from Spain in the 1500's murdered millions of Indigenous People of South America; It was Christians from Europe that murdered hundreds of millions Indigenous American Indians, stealing their lands their crops and murdering even women and children up to the 20th Century. It was a Christian Nation America along with Christian Europe that Sponsored The Trans Atlantic Slave Trade; Where they took Prisoners of War from Africa which 70% were Muslim and shipped them over to the West Indies. 9 out 10 Africans died in the middle passage. Once in The West Indies the Africans were whipped, lynched, raped, stolen of their Names, their Islamic and African Religion, and their Culture. They were given The Christian Bible only as a way to pacify them and render them somewhat harmless. A Christian Nation continued this GODLESS Demonic Policy up to the 20th Century. With over 300 years of free Labor the Africans Made The United States a World Power. This was the worse form of treatment to fellow human being in recorded history!
It was a Christian Nation America which dropped the only Nuclear Bombs on a civilization in Hiroshima and Nagasaki. It was a Christian Nation America that attacked the defenseless people of Cambodia and Vietnam for Opium. To this day a Christian Nation America is steadily murdering Millions of Innocent Iraqis and Afghans for Oil, Opium and to act as a deterrent to Russia and China. This Christian Nation has put the world on Alert and has a Policy of First Strike Nuclear Option on any Country that stands in its way. A Christian Nation is doing all of this and is The true terrorists not an Islamic Nation. It is a Christian Nation that FUNDS the Taliban and has created Al-Qaeda (Al-CIA-DUH) which they use for various counter-intelligence operations.
It is a Christian Nation that has poisoned the water of its own people with Fluoride & Chlorine; poisons the meats with steroids, poisons the minds with mindless television. Has the Worst Health Care System in the World, Has a predatory Credit Card Racket, Home Loans Racket and even our money is back by Fraudulent Federal Reserve System that is owned and controlled by Private Banking Families and Not by The Government. This Christian Nation stood idly by while Wall Street stole Billions from its citizens and then Corrupt Politicians gave the Crooks Bailouts over 10 Trillion Dollars which the United States Citizens cannot trace.
Even though your child is young it is important to break down the truth. The issue has nothing to do with Islam but everything to do with Imperialism which uses gullible people to do their bidding throughout the world.