TD

Toronto-Dominion Bank

HARAM — SCREEN DOES NOT PASSstock

Is TD Halal?

Canadian bank — conventional banking.

What You Should Know

TD's Q2 2026 statements report CAD 2,085,105 million of assets, funding/assets of 70.60%, liquidity/assets of 35.03%, receivables-plus-cash/assets of 51.81%, and net interest income of 56.09% of quarterly revenue. Core business is interest-based lending.

⚠️ Concerns

  • Conventional banking
  • Interest income
  • Funding/assets is 70.60% and net interest income is 56.09% of Q2 revenue

Current quantitative Sharia screen

Based on Q2 2026 Report to Shareholders figures for the period ended 2026-04-30; calculated 2026-07-14.

CAD · millions
Interest-bearing debt / assets
70.60%Above limit
Below 33.333% under FTSE Yasaar

1,472,168 / 2,085,105

Cash + interest-bearing securities / assets
35.03%Above limit
Below 33.333% under FTSE Yasaar

730,345 / 2,085,105

Receivables + cash / assets
51.81%Above limit
Below 50% under FTSE Yasaar

1,080,271 / 2,085,105

Non-compliant income / revenue (upper bound)
56.09%Above limit
No more than 5% under FTSE Yasaar

8,861 / 15,797

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

Funding/assets is 70.60%, liquidity is 35.03%, receivables plus cash are 51.81% and net interest income is 56.09%; conventional banking independently fails the activity screen.

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

Funding/assets, liquidity, receivables plus cash and net interest income exceed the examined limits; conventional banking also independently fails.

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

Funding, liquidity, receivables plus cash and net interest income exceed the examined limits; this is a calculation against SAC ratios, not an official SAC classification.

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

Historical market-cap ratios are not stored; a different denominator cannot cure the failed conventional-banking business activity.

Business-activity disclosure

TD is a conventional Canadian bank whose deposits, mortgages, consumer and commercial lending, treasury and wholesale-banking operations are core activities. The qualitative business screen therefore fails independently of ratio methodology.

Limitation: The report does not classify every fee, trading, advisory, insurance or subsidiary contract by Sharia status. That limitation does not change the result because conventional banking is the core business.

Purification

Purification is not calculated because TD fails at the core conventional-banking activity level; the interest-income ratio is evidence of that failure, not a donation amount that makes ownership compliant.

Inputs, assumptions and primary sources
  • Amounts are CAD millions from TD's Q2 2026 consolidated statement of financial position and reported operating results.
  • Interest-bearing funding proxy includes deposits of CAD 1,243,431 million, repurchase agreements of CAD 218,392 million and subordinated notes/debentures of CAD 10,345 million.
  • Cash includes cash and due from banks of CAD 5,858 million plus interest-bearing deposits with banks of CAD 110,124 million; securities include trading, FVTPL, FVOCI and amortized-cost debt securities totaling CAD 614,363 million.
  • Loans net of allowances of CAD 964,289 million are used as the conservative receivables/financing-assets numerator.
  • Q2 reported total revenue was CAD 15,797 million and reported net interest income was CAD 8,861 million; the latter is treated as a conservative upper-bound indicator of conventional interest activity.

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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