Halal Mutual Funds & High Expense Ratios

My company allows a self-directed account for my 401k which allows me to buy only mutual funds (no ETFs).

Some of the options we have such as AMANX (and other MFs run by Amana) and IMANX have expense ratios that are pushing ~1%. Will these ERs become lower in the foreseeable future? Anyone have any insight into that? I’m thankful we still have these options to avoid investing in non-compliant funds but just wanted to hear others’ thoughts.


Yes they will get lower over time. As more products and customers come to market, there will be more competition which will drive down fees.

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