EFA

iShares MSCI EAFE ETF

HARAM — DATA INCOMPLETEetf

Is EFA Halal?

International developed markets ETF — banks and financials dominate.

What You Should Know

EFA's January 31, 2026 report shows $74.598 billion of assets. Disclosed interest and securities-lending income is about 0.14% of investment income, but the international developed-market portfolio includes European and Japanese banks, insurers and other mixed activities. It is not Sharia-screened.

⚠️ Concerns

  • European banks
  • Japanese banks and financials
  • No Sharia screening

Current quantitative Sharia screen

Based on N-CSR figures for the period ended 2026-01-31; calculated 2026-07-14.

USD · millions
Interest-bearing debt / assets
0.00%Within limit
Below 33.333% under FTSE Yasaar

0 / 74,597.862

Cash + interest-bearing securities / assets
0.56%Within limit
Below 33.333% under FTSE Yasaar

417.282 / 74,597.862

Receivables + cash / assets
0.52%Within limit
Below 50% under FTSE Yasaar

388.059 / 74,597.862

Non-compliant income / revenue
0.14%Within limit
No more than 5% under FTSE Yasaar

0.843 / 592.935

FTSE Yasaar
v4.6, February 2026
Financial
Pass
Overall
Incomplete

Debt/assets is 0.00%, liquidity/assets is 0.56% and receivables plus cash/assets is 0.52%; disclosed incidental income is about 0.14%, while activity classification remains incomplete.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Pass
Overall
Incomplete

Debt/assets, liquidity/assets and receivables plus cash/assets are below the examined MSCI asset limits, but underlying issuer activity is not classified by a universal prohibited-revenue numerator.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Pass
Overall
Incomplete

Debt/assets and liquidity/assets are below the examined Malaysia limits; the pass-through portfolio remains qualitatively and methodologically incomplete.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Incomplete

A licensed historical market-cap series and a fund-level prohibited-income convention are not stored.

Business-activity disclosure

EFA is an international developed-market pass-through ETF. The portfolio includes European and Japanese banks, insurers and other mixed activities that are not uniformly screened by the fund.

Limitation: The report provides holdings and income lines but no school-neutral prohibited-revenue allocation across every underlying issuer.

Purification

EFA discloses incidental interest and securities-lending income, but no scholar-approved purification percentage is inferred from the aggregate fund distribution.

Inputs, assumptions and primary sources
  • Amounts are USD millions from EFA's January 31, 2026 shareholder report.
  • The report shows USD 74,597.862 million of total assets, USD 133.394 million of cash and foreign currency, USD 283.888 million in money-market funds and USD 254.665 million of listed receivables.
  • Interest and securities-lending income totals USD 0.843 million against USD 592.935 million of investment income, or about 0.14%.
  • European and Japanese banks, insurers and other mixed activities are qualitative look-through observations, not a universal prohibited-revenue percentage.
  • ETF look-through ratios are not an official FTSE, MSCI or Malaysia classification.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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