Invesco Solar ETF (TAN) - Questionable
Invesco Solar ETF (TAN) is classified as Questionable 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
- Doubtful
- Reason
- TAN is an ETF. Individual stock screening does not apply to ETFs — review the fund's underlying holdings for Shariah compliance.
Financial Ratios
About Invesco Solar ETF
The fund will generally invest at least 90% of its total assets in the securities that comprise the underlying index. Strictly in accordance with its guidelines and mandated procedures, MAC Indexing LLC, has contracted with S&P DJI Netherlands B.V. to calculate and administer the underlying index, which seeks to track the performance of companies in global solar energy businesses. The fund is non-diversified.
Frequently Asked Questions
Is Invesco Solar ETF (TAN) stock halal to invest in?
According to AAOIFI Shariah screening standards, Invesco Solar ETF (TAN) is currently classified as Questionable. This is based on both business activity and financial ratio screening.
Does Invesco Solar ETF have any interest income?
Interest income data for Invesco Solar ETF is factored into the financial ratio screening under AAOIFI standards.
What guidelines are used to determine if TAN stock is Shariah-compliant?
TAN 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 Invesco Solar ETF stock reviewed for Shariah compliance?
Invesco Solar ETF'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.