Is $HOOD shariah compliant?

[fuzailfaridy]

Assalam Alaikum,
Is HOOD shariah compliant?
Jazakum Allah Khair

[saad (Saad Malik)]

No, unfortunately. See my answer from a different post below.

IPO's

Robinhood has three sources of revenue: Transaction based revenues (75%) Net interest revenues (19%) Other revenues (6%). Net interest revenues come primarily from Robinhood’s securities lending program and interest earned on margin lending and cash deposits, net of borrowing costs related to the company’s revolving lines of credit. Since this makes up 19% of the company’s total revenues, Robinhood (HOOD) would be shariah non-compliant. Here’s a good breakdown of their S-1 filing if you’d li…

[fuzailfaridy]

Thank you so much for the clarification. It is not unfortunate. You guys are doing great job. It helps us in our investment making decision. This is our first criteria and no matter how big/good company is. If it is not Sharia compliant, it is not for us.
Again appreciated your effort in doing research and then declaring whether it is Sharia compliant or not? Keep up the great work. We ask Allah swt to reward you guys for doing this. This is need of the hour for ummah. We ask Allah swt to guide us to follow the right path. Aameen.

[Mustapha (Mustapha Abdulhameed)]

Well said Fuzail, I love this statement of yours 'no matter how big or good a company is,if it is not sharia-compliant it isn’t good for us".
This has always been my mantra and I am glad we have a platform like Zoya which helps us identify halal and haram stocks.

[fuzailfaridy]

Thank you Brother Mustapha. You are right. Zoya is very helpful for us.