XLK

Technology Select Sector SPDR Fund

DOUBTFUL — DATA INCOMPLETEetf

Is XLK Halal?

Tech sector ETF — generally permissible but includes doubtful companies.

What You Should Know

XLK is a technology-sector pass-through ETF. Its March 31, 2026 report shows $84.274 billion of assets and disclosed incidental interest/securities-lending income of about 0.14% of fund investment income. Core technology activity is generally permissible, but communications and platform holdings require issuer-level review; it is not Sharia-screened.

⚠️ Concerns

  • Includes Meta, Alphabet with content concerns
  • Not halal-certified
  • Indirect exposure to haram businesses

Current quantitative Sharia screen

Based on Semiannual Shareholder 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 / 84,274.164

Cash + interest-bearing securities / assets
0.12%Within limit
Below 33.333% under FTSE Yasaar

97.223 / 84,274.164

Receivables + cash / assets
0.03%Within limit
Below 50% under FTSE Yasaar

27.65 / 84,274.164

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

0.397 / 286.188

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

Debt/assets is 0.00%, liquidity/assets is 0.10%, receivables-plus-cash/assets is 0.03% and disclosed incidental non-compliant income is 0.14%; issuer activity remains incomplete at fund level.

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

Fund-level debt, liquidity and receivables-plus-cash are below examined MSCI asset limits, but a universal underlying prohibited-revenue numerator is unavailable.

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

Fund-level financial ratios are below the examined Malaysia limits; the pass-through portfolio remains qualitatively 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 fund-level prohibited-income convention are not stored.

Business-activity disclosure

XLK is a pass-through technology-sector ETF. Software, hardware and semiconductor activity is generally permissible, but the fund includes communications and platform companies with mixed content and business lines and does not provide a school-neutral prohibited-revenue allocation for every issuer.

Limitation: The report provides fund-level holdings and income, not a universal prohibited-revenue allocation across all issuers.

Purification

The fund discloses only aggregate incidental interest and securities-lending income; no scholar-approved purification percentage is inferred for underlying issuer dividends.

Inputs, assumptions and primary sources
  • Amounts are USD millions converted from XLK's unaudited March 31, 2026 semiannual statements.
  • The fund reports USD 84,274.164094 million of total assets, USD 85.420370 million of affiliated investments, USD 11.802567 million of net cash at broker and USD 15.847574 million of dividends and securities-lending receivables.
  • Six-month investment income totals USD 286.187731 million. Disclosed interest and securities-lending income of USD 0.396787 million is used as the incidental non-compliant-income numerator; underlying issuer revenue is not allocated by the fund.
  • 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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