Yes. HLAL is a halal ETF holding only Shariah compliant US stocks. Its compliance is backed by formal religious certification: the FTSE Shariah USA Index it tracks has been certified through a Fatwa issued by the principals of Yasaar Limited, an independent Shariah advisory firm that conducts the screening. Companies are excluded where their business activities are impermissible or their financial ratios breach Islamic thresholds, including limits on leverage and non-compliant income. Managed by Wahed, an Islamic finance specialist, HLAL is one of the most established halal ETFs for US market exposure and is available to trade on Tabadulat.

Is HLAL Shariah compliant, and who certifies it?

HLAL is Shariah compliant, and the certification chain is unusually explicit. Screening of the FTSE Shariah USA Index is performed by Yasaar Limited, a specialist Shariah advisory firm, and the index carries a Fatwa issued by Yasaar's principals confirming compliance with Islamic law. Screening follows AAOIFI-aligned principles, excluding companies in prohibited industries and applying financial ratio tests covering leverage and non-permissible income. Compliance is embedded in index construction rather than applied by the manager, and it is maintained through quarterly rebalancing, so constituents breaching the criteria are removed at the next review.

What does HLAL invest in?

HLAL invests in Shariah compliant US equities, holding large and mid-cap companies listed in the United States that pass Islamic screening. It is entirely equity-based, with no bonds or alternative assets. The eligible universe is drawn from the FTSE Global Equity Index Series and filtered for Shariah compliance, which removes companies in non-permissible sectors such as conventional finance, alcohol, gambling and tobacco, together with those exceeding thresholds for interest-bearing debt and non-compliant income. The outcome is a diversified portfolio of American companies representing Shariah compliant participation in the US stock market.

What index does HLAL track?

HLAL tracks the FTSE Shariah USA Index, which measures the performance of US large and mid-cap companies meeting Shariah screening criteria. The index is built from the FTSE Global Equity Index Series universe, with Islamic screening applied by Yasaar Limited to determine eligibility. Constituents are selected on compliance with both business activity and financial rules, then weighted according to index methodology. The index is rebalanced quarterly, so compliance is reassessed four times a year rather than annually. HLAL replicates this index passively, holding the same or substantially similar securities in corresponding weights.

Does HLAL require dividend purification?

Yes. Even fully screened companies can earn small amounts of non-permissible income, most commonly interest on corporate cash, so dividends require purification. Wahed makes this straightforward by publishing purification information every quarter, showing the proportion of dividend income that should be donated to charity. Investors apply that ratio to the dividends they received and give the corresponding amount away without seeking personal benefit. The published quarterly figures mean investors do not need to calculate the ratio themselves. This process, tazkiyah, is standard practice for Shariah compliant equity investing and is what makes the remaining income fully purified.

English

العربية

Invest Halal, Anytime, Anywhere

Download the Tabadulat app and start building your Shariah-compliant portfolio in minutes.

Wahed FTSE USA Shariah ETF (HLAL)

HLAL

Shariah-Compliant

HLAL

About Wahed FTSE USA Shariah ETF (HLAL)

The Wahed FTSE USA Shariah ETF (HLAL) provides passive index exposure to Shariah compliant US stocks, tracking the FTSE Shariah USA Index. The index forms part of the FTSE Global Equity Index Series and applies Islamic screening to large and mid-cap American companies to determine eligible constituents. Screening is carried out by Yasaar Limited, an independent Shariah advisory firm, and the index has been certified compliant through a Fatwa issued by Yasaar's principals. HLAL is listed on NASDAQ and designed for low-cost, efficient investing, with a low expense ratio and quarterly rebalancing of the underlying index. Wahed publishes purification information each quarter so investors can cleanse dividend income in line with Islamic requirements.

Website:

https://www.wahed.com/uae/hlal

Frequently asked questions

Mobile login screen for Tabadulat with fields to enter email, a Continue button, an option to create an account, and a language selector showing EN.

Step 1

Open your account.

Sign up in minutes, verify your identity, and fund your account by secure transfer in the currency you hold. There is no minimum portfolio size and no separate subscription for Shariah screening, so you can start investing in halal stocks and ETFs the same day.

Mobile screen showing an Explore page with a search bar and a list of popular stocks this week: NVIDIA Corporation, Amazon.com Inc., Apple Inc., and L'Oréal S.A., with their stock prices and percentage changes.

Step 2

Compare Shariah compliant ETFs.

Open HLAL in the app to see the FTSE Shariah USA Index behind it, its expense ratio and the quarterly purification figures Wahed publishes. You can view it side by side with other halal ETFs and individual Shariah compliant stocks listed on the platform.

Mobile screen showing investment portfolio with $100,000 total value, $48,000 invested, and a $2,000 return (4.50%) with a line graph and options for 1W, 1M, 3M, YTD, 1Y, Max, plus Trade and Deposit buttons.

Step 3

Invest and track, 100% halal.

Buy HLAL in whole or fractional amounts with real-time pricing, then watch it in your portfolio next to everything else you hold. Tabadulat monitors Shariah compliance continuously and alerts you if anything changes, and you can withdraw at any time.

Chat with us

100% Shariah-compliant

Download App