SPY

SPDR S&P 500 ETF

HARAM — DATA INCOMPLETEetf

Is SPY Halal?

Broad S&P 500 exposure — the official report shows material conventional-finance, alcohol, tobacco and defense holdings.

What You Should Know

SPY's March 2026 semi-annual report shows 503 equity holdings and industry exposure including financial services, banks, capital markets, tobacco, beverages, entertainment and aerospace/defense. The fund is not Sharia-screened and its look-through business classification remains incomplete.

⚠️ Concerns

  • Banks and financial institutions
  • Alcohol producers
  • No halal screening
  • Tobacco companies

Current quantitative Sharia screen

Based on Semi-Annual Report figures for the period ended 2026-03-31; calculated 2026-07-14.

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

0 / 650,530.593

Cash + interest-bearing securities / assets
0.30%Within limit
Below 33.333% under FTSE Yasaar

1,973.813 / 650,530.593

Receivables + cash / assets
0.35%Within limit
Below 50% under FTSE Yasaar

2,302.456 / 650,530.593

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

Debt/assets is 0.00%, liquidity/assets is 0.30% and receivables plus cash/assets is 0.35%; a comparable fund-level prohibited-income numerator is unavailable.

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 the underlying portfolio 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

SPY is a broad S&P 500 equity trust. The underlying portfolio includes conventional financial institutions, alcohol and tobacco exposure, entertainment, defense and mixed customer end uses; the trust itself is a pass-through vehicle rather than an operating business.

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

Purification

SPY passes through dividend income from underlying issuers; no scholar-approved purification percentage is inferred from the aggregate fund distribution.

Inputs, assumptions and primary sources
  • Amounts are USD millions from SPY's March 31, 2026 semi-annual report.
  • The trust reports USD 650,530.593 million of total assets, USD 1,973.813 million of cash and USD 328.643 million of dividend and tax receivables; no interest-bearing securities or debt balance is separately reported.
  • Six-month investment income is USD 4,221.096 million. It is not treated as a prohibited-income numerator because it is pass-through dividend income from hundreds of underlying issuers.
  • Industry weights include financial services 3.6%, banks 3.5%, capital markets 3.2%, tobacco 0.7%, beverages 1.1%, entertainment 1.4% and aerospace/defense 2.3%; these are 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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