SPUS, SPRE, HLAL Fund Holdings Non-Compliant in Zoya

[ahmahmed90 (Adam)]

Some companies in the HLAL, SPRE, SPUS and other halal funds are showing being non compliant per Zoya app but they are shariah compliant due to them having the shariah certificate. What can one do in this situation?

[Aassem_Abdel-aziz]

Bump! I set this post to Watching.

[Farhan]

Assalaamu Alykum @ahmahmed90 and @Aassem_Abdel-aziz,

So this is a question that’s been around the Zoya Community for a quite a while and people have differing opinions. Check out these conversations to get a read on where people are, there are a lot of good answers.

Is S&P 500 or $SPY haram to invest

Allah knows best. As a whole, the Index and hence the ETFs that mimic SP500 are considered not Shariah compliant. Coming to your second point, we inadvertently do things due to our lack of awareness. About the loss, its your decision to continue holding or not. In the case of a stock becoming non compliant, I have read about a 90 day grace period. Not sure if that applies in this case but sounds like an upper bound. Good luck.

ETFs and Mutual Funds

Is Spre Reit, Spus and Wahed Halal to invest In.

AAOIFI: Zoya and other places

If $SPRE is compliant according to AAOFI, why does Zoya (uses AAOFI) list many of their REITs as non-compliant OR why does the the Fatwa provider certify $SPRE as compliant under AAOFI? $SPRE AAOFI certificate: https://www.sp-funds.com/wp-content/uploads/2021/06/SPRE-Certificate-of-Sharia-Accreditation-2021-signed.pdf

Shariah-compliant funds are managed with the intention of providing an investment solution for Muslims. There are differing opinions as to what constitutes shariah compliance and indeed differing methodologies. At Zoya, our Compliance is based on the AAOIFI methodology with the guidance of Shariah Advisors.

Ultimately it comes down to what you’re comfortable with.

That being said, as our advisor @Joe has mentioned.

If they have reputable Shariah advisors, just go with that.

Is HSBC Islamic Global Equity allowable to invest in

FYI, user Joe1 is not me, although I agree with the sentiment. If they have reputable Shariah advisors, just go with that. I missed the point in your original question about it being an Islamic fund and assumed it was a conventional one from HSBC.

Also, check out this FAQ as well.
https://help.zoya.finance/en/articles/5666086-the-shariah-compliance-status-on-zoya-is-different-from-another-app-who-should-i-follow

[pykekaisora (Syed Mohammad Iqbal Al-Qudsi)]

I’m an average 27 year old Muslim, so I’m but even if SPRE, SPUS, HLAL, and UMMA is not considered halal by Zoya, we need to remember that even in Islam itself there are sunni, shia, wahabi and etc. Heck even in Sunni there are 4 schools of thought.

Since I’m a Sunni, if these stocks are certified by other Sunni I don’t have any qualms. Since that is what I’ve been taught. Heck even to be more specific I’m following Mazhab Shafi’ but if I went for hajj with my wife, the Hajj Representative of my country will teach us how to use Mazhab Hanafi’s way of Wudhu’ just because it doesn’t cancel out if I need to grab my wife’s hand during Hajj.

Same for the certification, as long as it’s certified by a Muslim constitution, I see no wrong in invest in these stocks. What is truly Haram is definitely VOO since they do have haram sectors in it, but we can still invest in it, we just need to be hardworking in finding out the total amount that needs to be donated into Baitulmal.

Just my 2 cents, if there’s any Scholars, Imams, Muftis, or anyone who has better understanding, please correct me if my 2 cents is wrong.