Every Muslim should be an investor. Here’s how to start.
Choosing Your Approach
Managed vs Robo vs Self-Directed Investing
Investment Style | Managed | Robo | Self-Directed (DIY) |
Passive | A professional advisor handles your investments and makes minimal changes to your portfolio. You get access to ongoing financial consultation.
Example: Manzil Wealth, Shariah Portfolio Passive Management | An automated service creates and maintains a Shariah-compliant portfolio for you. Example: Wealthsimple Managed Halal Portfolio, Manzil Invest. | You choose and manage your own Halal ETFs, buying and holding them with minimal trading. Example: Halal ETFs purchased directly through brokerage (e.g., Wealthsimple Trade, Questrade). |
Active | A professional advisor actively buys and sells investments, trying to outperform the market. You get access to ongoing financial consultation. Example: TD Wealth, RBC Wealth Management, IG Wealth Management, Shariah Portfolio Active Management, etc | N/A | You research and trade individual Shariah-compliant stocks or other securities, trying to make gains by buying and selling at the right times.
Example: Individual stocks bought and sold directly through brokerage (e.g., Wealthsimple Trade, Questrade). |
Self-Directed Resources
Brokerage Options
Name | Type | Service Category | Pricing / Fees | Link to Website |
|---|---|---|---|---|
Brokerage | Investing | $8.75 per trade | ||
Brokerage | Investing | $0 per trade | ||
Brokerage | Investing | $0 to buy ETFs |
Halal ETF List
Ticker | Name | Focus | Listing | Fee | Explanation | Non-Halal ETF Analog |
|---|---|---|---|---|---|---|
Wealthsimple Shariah World Equity Index ETF | Global Large Blend | CA 🇨🇦 | 0.56% | Global Shariah-compliant stocks focusing on ethical investments. | Vanguard Total World Stock ETF (VT) | |
Wahed FTSE USA Shariah ETF | US Large Growth | US 🇺🇸 | 0.50% | Invests in large U.S. companies with a focus on tech, similar to QQQ but Shariah-compliant. | Vanguard FTSE USA ETF (VUSA) | |
SP Funds Dow Jones Global Sukuk ETF | Global Bond | US 🇺🇸 | 0.55% | Invests in global Sukuk, a Shariah-compliant bond alternative. | iShares Global Aggregate Bond ETF (AGGG) | |
SP Funds S&P Global REIT Shariah ETF | Global Real Estate | US 🇺🇸 | 0.55% | Invests in Shariah-compliant global real estate properties. | Vanguard Global ex-US Real Estate ETF (VNQI) | |
SP Funds S&P Global Technology ETF | Global Technology | US 🇺🇸 | 0.55% | Targets global tech companies that adhere to Islamic law. | Technology Select Sector SPDR ETF (XLK) | |
SP Funds S&P World ETF | Global Large Blend | US 🇺🇸 | 0.55% | Diversified global investments excluding haram sectors. | iShares MSCI World ETF (URTH) | |
SP Funds S&P 500 Shariah Industry Exclusions ETF | US Large Growth | US 🇺🇸 | 0.45% | Invests in large U.S. companies excluding haram industries. | SPDR S&P 500 ETF (SPY) | |
Wahed Dow Jones Islamic World ETF | Global Large Growth | US 🇺🇸 | 0.65% | Invests in large global companies following Islamic guidelines. | iShares MSCI ACWI ETF (ACWI) |
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Written by Farooq Maseehuddin
Farooq Maseehuddin (MuslimMoney Guy) is a financial educator and writer. He holds both a Bachelor of Education (BEd.) and a Master of Education (MEd.) from the University of Alberta. He's been a high school teacher and Muslim community organizer for two decades.