Leverage Shares 2X Short SPCX D (SSPC) - Not Halal (Non-Compliant)
Leverage Shares 2X Short SPCX D (SSPC) is classified as Not Halal (Non-Compliant) according to AAOIFI Shariah screening standards. This assessment is based on business activity screening and financial ratio analysis using the AAOIFI methodology.
Business Activity Screen
- Sector
- ETF
- Industry
- Exchange-Traded Fund
- Result
- Fail
- Reason
- SSPC appears to be a leveraged, inverse, or short ETF. These funds use derivatives and/or short-selling strategies which are not permissible under Shariah.
Financial Ratios
About Leverage Shares 2X Short SPCX D
The fund is an actively managed ETF. It invests at least 80% of its net assets (plus borrowings for investment purposes) in the Underlying Security and financial instruments with economic characteristics that, in combination, provide -200% daily inverse leveraged exposure to the price of the Underlying Security, on a daily basis, consistent with the fund’s investment objective. The fund is non-diversified.
Frequently Asked Questions
Is Leverage Shares 2X Short SPCX D (SSPC) stock halal to invest in?
According to AAOIFI Shariah screening standards, Leverage Shares 2X Short SPCX D (SSPC) is currently classified as Not Halal (Non-Compliant). This is based on both business activity and financial ratio screening.
Does Leverage Shares 2X Short SPCX D have any interest income?
Interest income data for Leverage Shares 2X Short SPCX D is factored into the financial ratio screening under AAOIFI standards.
What guidelines are used to determine if SSPC stock is Shariah-compliant?
SSPC is screened using AAOIFI Standard No. 21, which involves two checks: business activity screening (ensuring the company's core business is permissible in Islam) and financial ratio screening (checking debt, interest income, and cash ratios against defined thresholds). AAOIFI is the most widely recognized standard for Islamic finance.
How often is Leverage Shares 2X Short SPCX D stock reviewed for Shariah compliance?
Leverage Shares 2X Short SPCX D's compliance status is reviewed whenever new financial data becomes available, typically after quarterly or annual earnings reports. Market cap changes can also affect financial ratio screening results. Mizaan refreshes screening data periodically to reflect the latest filings.
