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Halal Investing

Types of Halal Investments

From hands-off ETFs to active stock picking, explore every type of Shariah-compliant investment available to Canadian Muslims.

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What types of investments are halal?

U.S. Muslims can invest through five main Shariah-compliant vehicle types: halal ETFs (cheapest, most popular), halal mutual funds (active management, longer track records), managed platforms (hands-off robo-advisors), screened individual stocks (DIY with a compliance screener), and brokerage accounts used to hold any of the above. Sukuk (Islamic income certificates) and halal REITs round out the asset classes, usually accessed through funds.

Halal ETFs

Most popular

Low-cost index funds tracking Shariah-compliant versions of major market indices. The most popular and cheapest way to invest halal.

7+ products compared

Halal Mutual Funds

Professionally managed funds with longer track records. Higher minimums but active management and income-focused options.

4+ products compared

Investment Platforms

Best for beginners

Managed halal portfolios (robo-advisors) that build, rebalance, and monitor your portfolio automatically. Best for hands-off investors.

5+ products compared

Stock Screeners

Screen thousands of stocks for Shariah compliance. Essential for investors who want to pick individual halal stocks.

2+ products compared

Brokerages

Standard brokerage accounts for trading halal stocks and ETFs. Use with a screener for full DIY halal investing.

1+ products compared

Halal Investment Type FAQs

What types of halal investments are there?
The main types of Shariah-compliant investments available to U.S. Muslims are halal ETFs (low-cost index funds tracking Shariah-screened indices), halal mutual funds (professionally managed, longer track records), managed halal investment platforms (robo-advisors that build and rebalance a compliant portfolio for you), individual halal stocks (screened with a stock screener such as Zoya or Musaffa), and sukuk (Shariah-compliant income certificates, usually accessed through a fund such as SPSK). Real estate and halal REITs are also common Shariah-compliant asset classes.
Which halal investment type is best for beginners?
For most beginners, a managed halal platform (robo-advisor) or a single broad halal ETF is the simplest starting point. A platform handles screening, diversification, and rebalancing automatically; a broad halal ETF like SPUS or HLAL does the screening inside the fund and can be bought through any brokerage. Picking individual stocks requires a screener and ongoing monitoring, so it suits more hands-on investors.
Are halal ETFs or halal mutual funds better?
Halal ETFs are generally cheaper (lower expense ratios), trade throughout the day, and have lower minimums, which is why they are the most popular choice. Halal mutual funds — such as the Amana funds — offer longer track records and active management, and some focus on income. Cost-sensitive, hands-off investors usually favor ETFs; investors who want active management or income-focused mandates may prefer mutual funds.
Do I need a special brokerage account to invest halal?
No. Halal ETFs and screened individual stocks can be held in any standard brokerage account. What matters is what you buy, not where you hold it. Some investors pair a standard brokerage with a Shariah screener; others use a dedicated halal platform that manages everything in one place.

Compare all halal investments in one place

See every halal investing option side-by-side with fees, minimums, and compliance details.

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