Is Manulife Financial (MFC) stock Halal?

Manulife Financial is a multinational insurance and financial services company headquartered in Toronto, Canada. It primarily offers a comprehensive array of financial protection and wealth management products and services to individual and institutional clients. The company's portfolio includes life insurance, group life and health insurance, as well as long-term care insurance. Additionally, Manulife provides annuities, mutual funds, and banking products. For Muslim investors, though, the most pressing question is simpler: is Manulife Financial a Halal investment?

Is Manulife Financial Shariah compliant?

Finance is the sector where Shariah screening does the most work, because Riba is not incidental here, it can be the product itself. Manulife Financial passes the business activity screen only if its revenue comes from permissible services rather than lending at interest, and the financial screens of AAOIFI Shariah Standard No. 21 still apply in full.

Does Manulife Financial pass the business activity test?

The activity screen is only part of the picture this month: Manulife Financial currently fails the non-permissible income and interest-bearing investments screens, so the overall verdict is not compliant regardless of the business itself. The watch item in this sector is the sharpest of all: revenue must come from permissible services, not from lending at interest.

Is Manulife Financial's income Halal?

No. Manulife Financial's income from impermissible sources currently exceeds AAOIFI's 5% revenue ceiling, which makes the stock non-compliant on this screen regardless of the others. The screen is reassessed monthly, so the status can change when new financial statements arrive.

Does Manulife Financial meet AAOIFI's debt and investment ratio requirements?

Not in full. Interest bearing investments currently exceed the 30% cap, while the other ratio stays within it. One breach is enough to fail the screening; the ratios are reassessed monthly under our Shariah Supervisory Board.

Tabadulat is an ADGM regulated brokerage whose license covers Shari'a Compliant Regulated Activities, as the FSRA permission names them. New to the terminology? Gharar and Maysir, Sukuk, Zakat and purification are all explained in plain English.

New to the four screens? Read What is Riba? A Clear Guide for Ethical Muslim Investing