State Street Utilities Select S (XLU) - Questionable
State Street Utilities Select S (XLU) 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
- XLU is an ETF. Individual stock screening does not apply to ETFs — review the fund's underlying holdings for Shariah compliance.
Financial Ratios
About State Street Utilities Select S
In seeking to track the performance of the index, the fund employs a replication strategy. It generally invests substantially all, but at least 95%, of its total assets in the securities comprising the index. The index includes securities of companies from the following industries: electric utilities; water utilities; multi-utilities; independent power and renewable electricity producers; and gas utilities. The fund is non-diversified.
Frequently Asked Questions
Is State Street Utilities Select S (XLU) stock halal to invest in?
According to AAOIFI Shariah screening standards, State Street Utilities Select S (XLU) is currently classified as Questionable. This is based on both business activity and financial ratio screening.
Does State Street Utilities Select S have any interest income?
Interest income data for State Street Utilities Select S is factored into the financial ratio screening under AAOIFI standards.
What guidelines are used to determine if XLU stock is Shariah-compliant?
XLU 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 State Street Utilities Select S stock reviewed for Shariah compliance?
State Street Utilities Select S'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.