Halal ETF
Easy diversification | Shariah-screened | Stock-like trading
Halal ETFs: A Simple Starting Point to Shariah-Compliant Investing
A Halal ETF (Exchange-Traded Fund) is an investment that lets you own many companies through a single purchase while following Islamic (Shariah) principles.
These ETFs avoid businesses involved in:
- Interest-based banking
- Alcohol
- Gambling
- Weapons
- Tobacco
- Other non-permissible activities
How to read this list
- Ticker: The symbol used to buy the ETF in your brokerage app.
- Fee (MER): The annual management fee charged by the fund (lower is better).
- AUM (Assets Under Management): The total size of the fund. Larger funds often have better liquidity.
Stock & Equity ETFs
| Ticker | Provider | Exchange | Asset Class | Fee (MER) | AUM | Currency |
|---|---|---|---|---|---|---|
| SPUS | SP Funds | US NYSE | US S&P 500 | 0.45% | $1.9B | USD |
| HLAL | Wahed | US NASDAQ | US Large/Mid Cap | 0.50% | $700M | USD |
| SPTE | SP Funds | US NYSE | Global Tech | 0.55% | $86M | USD |
| MNZL | Manzil | US NASDAQ | US Broad Market | 0.40% | $1.5M | USD |
| WSHR | Wealthsimple | CAN NEO | Global Developed | 0.56% | $406M | CAD |
| UMMA | Wahed | US NASDAQ | Intl. (Ex-US) | 0.65% | $170M | USD |
| SPSK | SP Funds | US NYSE | Global Sukuk (Bonds) | 0.55% | $439M | USD |
| SPRE | SP Funds | US NYSE | Global REITs | 0.55% | $181M | USD |
| SPWO | SP Funds | US NYSE | Intl. (Ex-US) | 0.55% | $95M | USD |
🪙 Halal-Friendly Commodities
These ETFs are generally backed by physical assets (Gold, Silver) or direct spot exposure (Bitcoin) held in custody. Unlike futures contracts, these offer direct ownership exposure without leverage or interest, making them widely accepted as Halal-friendly by many scholars. Always perform your own due diligence.
Commodity ETFs (Gold, Silver, Crypto)
| Commodity | Ticker | Provider | Exchange | Fee | AUM |
|---|---|---|---|---|---|
| Gold | GLDM | iShares | US NYSE | 0.10% | $26B+ |
| Gold | KILO.B | Purpose | CAN TSX | 0.28% | $1.2B |
| Silver | SIVR | Abrdn | US NYSE | 0.30% | $5.8B |
| Silver | SBT.B | Purpose | CAN TSX | 0.57% | $9.3B |
| Bitcoin | BTC | Grayscale | US NYSE | 0.15% | $4.3B |
| Bitcoin | IBIT | iShares | CAN TSX | 0.33% | $397M |
Stock & Equity ETFs (UCITS)
| Ticker | Provider | Region | Asset Class | Fee | AUM | Currency |
|---|---|---|---|---|---|---|
| ISWD / ISDW | iShares | EU/UK UCITS | Global Developed | 0.30% | $936M | USD/GBP/EUR |
| ISUS / ISDU | iShares | EU/UK UCITS | US Broad Market | 0.30% | $270M | USD/GBP |
| IGDA | iShares | EU/UK UCITS | Global Developed | 0.40% | $1.1B | USD/GBP |
🪙 Halal-Friendly Commodities
These ETFs are generally backed by physical assets (Gold, Silver) or direct spot exposure (Bitcoin) held in custody. Unlike futures contracts, these offer direct ownership exposure without leverage or interest, making them widely accepted as Halal-friendly by many scholars. Always perform your own due diligence.
Commodity ETCs
| Commodity | Ticker | Provider | Exchange | Fee | Currency |
|---|---|---|---|---|---|
| Gold | SGLN / IGLN | iShares | Europe / UCITS | 0.12% | USD/GBP/EUR |
| Silver | WSIL / WSLV | iShares | Europe / UCITS | 0.19% | USD/GBP/EUR |
| Bitcoin | IB1T | iShares | Europe / UCITS | 0.15% | USD/GBP/EUR |
Frequently Asked Questions About Halal ETFs
What are Halal ETFs?
Halal ETFs are exchange-traded funds that follow Islamic investment principles. They avoid companies involved in interest-based finance, gambling, alcohol, and other prohibited activities.
Are Halal ETFs suitable for beginners?
Halal ETFs can be suitable for beginners because they offer diversification and require less effort than picking individual halal stocks manually.
Do Halal ETFs pay dividends?
Some Halal ETFs distribute dividends depending on the underlying holdings. Many providers also handle the “purification” process of small amounts of non-permissible income.
Are Halal ETFs risky?
Like all investments, Halal ETFs carry market risk. Their value can go up or down. Long-term investing and broad diversification are key to managing this risk.
How are Halal ETFs different from regular ETFs?
The main difference is Shariah screening. Halal ETFs exclude companies (like banks or casinos) and financial practices (like heavy debt) that do not meet Islamic guidelines.
Can I use Halal ETFs for long-term goals like retirement?
Yes. Many investors use Halal ETFs for long-term goals such as retirement because they offer a passive way to grow wealth while remaining faith-compliant.