Methodology / S&P
S&P Shariah Indices
S&P — as Akinda applies it. Leverage is the only accounting screen left — the cash and receivables tests were retired in 2023.
Who writes it
Owner of the standard
S&P Dow Jones Indices writes and maintains this methodology, with screening by Ratings Intelligence.
Akinda is not affiliated with them and does not use their screening data. What Akinda applies is their published financial ratios, recomputed on Akinda's own extracted filings.
The screens
Screening rules
Every ratio below is measured against 36-month average market value of equity. The comparator matters: this methodology's own wording is reproduced exactly, so a < is not silently read as a ≤.
Non-compliant income
Rule
non-permissible income including all interest ÷ (revenue + interest) — < 5%
Field on the API: non_compliant_revenue_perc_sp
Debt
Rule
debt ÷ 36-month average market value of equity — < 33%
Field on the API: debt_ratio_perc_sp
Business activity
What this methodology excludes
The base list, plus advertising, music, and cinema. Defense is permitted.
Preferred shares and fixed-income instruments are excluded by instrument, whatever the company does.
Outcome
Verdict and review cadence
Verdict
Binary: HALAL / NOT HALAL
Field on the API: halal_status_sp
Re-screened
Monthly — the open of the Monday after the third Friday
Scope
What this screen covers
Akinda computes the ratios above, nightly, on its own extracted filings. Three boundaries are worth stating plainly:
- Index buffers and grace periods are not applied. This methodology's own buffer is 2 percentage points + 3 periods. Akinda publishes the raw-ratio result instead, so a verdict here can differ from a company's actual index membership.
- The business classification is Akinda's own, built from company filings — not the provider's dataset.
- Index membership, index weights and purification amounts are the index owner's to publish, not Akinda's.
Detail
Worth knowing
The cash and receivables screens were removed after 2023-09-15. Leverage is the only accounting screen that remains.
Primary document
S&P Shariah Indices Methodology ↗S&P Dow Jones Indices documents may not open from every network.
What this page is, and is not
Akinda applies each methodology's published financial ratios. The business-activity classification is Akinda's own, built from company filings. It is not the index provider's own screening data. Akinda is not affiliated with, endorsed by, or licensed by AAOIFI, S&P Dow Jones Indices, FTSE Russell, MSCI or Yasaar.
These are raw-ratio verdicts, computed as if the stock were screened today. Index buffers and grace periods are not applied. A verdict here can therefore differ from a company's actual membership of an index.
AAOIFI is Akinda's primary methodology. The status, rating and ratios shown everywhere else on Akinda are AAOIFI.
The other four methodologies
Every screen Akinda runs, side by side, with the AAOIFI verdict the rest of the product publishes.