Vanguard Morningstar Total Stoc (VTI) - Not Halal (Non-Compliant)
Vanguard Morningstar Total Stoc (VTI) 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
- VTI is a conventional ETF with significant exposure to interest-bearing securities, financial institutions, or other non-permissible sectors. Consider Shariah-compliant ETF alternatives.
Financial Ratios
About Vanguard Morningstar Total Stoc
The fund manager employs an indexing investment approach designed to track the performance of the CRSP U.S. Total Market Index (the “Target Index”), which represents 100% of the investable U.S. stock market, as determined by the index provider. Under normal circumstances, the fund invests at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in the stocks that make up the target index.
Frequently Asked Questions
Is Vanguard Morningstar Total Stoc (VTI) stock halal to invest in?
According to AAOIFI Shariah screening standards, Vanguard Morningstar Total Stoc (VTI) is currently classified as Not Halal (Non-Compliant). This is based on both business activity and financial ratio screening.
Does Vanguard Morningstar Total Stoc have any interest income?
Interest income data for Vanguard Morningstar Total Stoc is factored into the financial ratio screening under AAOIFI standards.
What guidelines are used to determine if VTI stock is Shariah-compliant?
VTI 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 Vanguard Morningstar Total Stoc stock reviewed for Shariah compliance?
Vanguard Morningstar Total Stoc'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.

