What Makes an Investment Halal?

A Halal investment is one that generates returns without relying on riba (interest), gharar (excessive uncertainty), maysir (gambling), or involvement in haram industries such as alcohol, conventional banking, gambling, or pork production.

In practice, this means every asset on oneHalal passes through a screening process before it's listed. We check the business activity itself — a company manufacturing cement is fine, one earning the majority of its revenue from interest-based lending is not.

We also check financial ratios. Even a company in a permissible industry can fail screening if its debt-to-assets ratio is too high, or if more than 5% of its revenue comes from interest income or other impermissible sources. These thresholds follow AAOIFI standards.

Finally, we check for purification requirements — in some cases, a small portion of dividends needs to be donated to charity because the underlying company has incidental, non-core impermissible income. We calculate this automatically so you don't have to.

The result: every asset carries a clear Halal, Doubtful, or Haram badge, reviewed quarterly, so you always know exactly what you're holding and why.