{"id":90198,"date":"2017-08-23T16:00:59","date_gmt":"2017-08-23T20:00:59","guid":{"rendered":"https:\/\/techvibes.com\/?p=90198"},"modified":"2017-08-24T09:15:49","modified_gmt":"2017-08-24T13:15:49","slug":"wealthsimple-introduces-halal-investing-a-shariah-abiding-portfolio","status":"publish","type":"magazine","link":"https:\/\/brainstation.io\/magazine\/wealthsimple-introduces-halal-investing-a-shariah-abiding-portfolio","title":{"rendered":"Wealthsimple Introduces Halal Investing: A Shariah-Abiding Portfolio"},"content":{"rendered":"<p>Wealthsimple&#8217;s digital investment platform is already changing\u00a0the way people invest\u2014and today the online financial advisor announced they&#8217;ve designed a new portfolio to comply with traditional Islamic laws.<\/p>\n<p>The Toronto-based wealth management company has launched a Halal investing portfolio for\u00a0Wealthsimple users that are observant Muslims, the company detailed\u00a0<a href=\"http:\/\/www.newswire.ca\/news-releases\/wealthsimple-introduces-a-new-investment-portfolio-for-observant-muslims-641496353.html\" target=\"_blank\">in a press release.<\/a><\/p>\n<p>The businesses included in the new portfolio are screened to ensure their activities don&#8217;t break Islamic laws and religion rules\u00a0against profiting from industries directly involved in alcohol, tobacco and gambling, among other\u00a0activities.<\/p>\n<p>This means that investors adhering to Islamic laws that choose the Halal portfolio are assured they&#8217;re not investing in\u2014and profiting from\u2014certain companies and financial products that directly conflict with their religion.<\/p>\n<p>&#8220;A lot of the common financial products are off the table for observant Muslims, and many of the available options are expensive or have high minimums,&#8221; said Wealthsimple\u00a0CEO Michael Katchen. &#8220;We wanted to offer a portfolio that had all the benefits of our other portfolios while being compliant with Islamic investing practices.&#8221;<\/p>\n<p>Wealthsimple partnered with stock analysis company MSCI and its committee of Shariah scholars to design the all-equity portfolio that excludes companies that gain more than 5 per cent of their revenue from prohibited activities.<\/p>\n<p>The Shariah-compliant\u00a0portfolio includes 50 stocks designed to maximize diversification and closely track the MSCI ACWI Islamic Index.<\/p>\n<p>All stocks are also\u00a0passed through a financial screen that filters out companies that derive significant income from interest or have considerable leverage\u2014like low risk bonds.<\/p>\n<p>Like Wealthsimple&#8217;s other investing portfolios, the process is automated, there&#8217;s no account minimum, and\u00a0the standard fee structure remains.\u00a0The Halal portfolio also uses the same passive investment strategy.<\/p>\n<p>However, Wealthsimple did <a href=\"https:\/\/www.wealthsimple.com\/en-ca\/magazine\/news-halal-investing\" target=\"_blank\">state on their website<\/a> that because the Halal Investing portfolio includes no fixed-income assets\u2014to avoid usury\u2014it is inherently higher risk.<\/p>\n<p>This is the second specially-designed portfolio Wealthsimple has introduced to align investments with values.\u00a0Last year, they added socially responsible investment options to their offerings.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Wealthsimple&#8217;s digital investment platform is already changing\u00a0the way people invest\u2014and today the online financial advisor announced they&#8217;ve designed a new portfolio to comply with traditional Islamic laws. The Toronto-based wealth management company has launched a Halal investing portfolio for\u00a0Wealthsimple users that are observant Muslims, the company detailed\u00a0in a press release. The businesses included in the [&hellip;]<\/p>\n","protected":false},"author":76241,"featured_media":0,"menu_order":0,"template":"","meta":{"_acf_changed":false,"footnotes":""},"categories":[13],"tags":[1122,639,123],"magazine-region":[],"magazine-series":[],"magazine-topic":[],"class_list":["post-90198","magazine","type-magazine","status-publish","hentry","category-News","tag-halal-investing-portfolio","tag-michael-katchen","tag-wealthsimple"],"acf":[],"_links":{"self":[{"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/magazine\/90198","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/magazine"}],"about":[{"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/types\/magazine"}],"author":[{"embeddable":true,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/users\/76241"}],"version-history":[{"count":0,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/magazine\/90198\/revisions"}],"wp:attachment":[{"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/media?parent=90198"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/categories?post=90198"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/tags?post=90198"},{"taxonomy":"magazine-region","embeddable":true,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/magazine-region?post=90198"},{"taxonomy":"magazine-series","embeddable":true,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/magazine-series?post=90198"},{"taxonomy":"magazine-topic","embeddable":true,"href":"https:\/\/brainstation.io\/wp\/api\/wp\/v2\/magazine-topic?post=90198"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}