AMALY — SHARIAH COMPLIANCE REPORT
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Symbol: LQD
Report Date: 2026-04-08
Full Report: https://amaly.io/stock/LQD

EXECUTIVE SUMMARY
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Compliance Status: NON_COMPLIANT
Quality Rating: B
Description: The iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD) is a passive ETF tracking U.S. investment-grade corporate bonds, generating returns primarily through interest payments, which constitutes riba and renders it non-compliant with Shariah principles. This report assesses compliance across financial, business, and index criteria, confirming exclusion from all major Shariah indices due to its core activity. While the ETF structure avoids traditional corporate debt, its 100% exposure to interest-bearing securities disqualifies it. Investors seeking fixed-income alternatives should consider sukuk-based ETFs. Overall, LQD is recommended for avoidance by Shariah-conscious investors.

Primary Compliance Concerns:
- Core business activity involves riba through 100% investment in interest-bearing corporate bonds
- Non-permissible income ratio effectively 100%, exceeding all thresholds
- Exclusion from all major Shariah-compliant indices

Purification Requirement: 100.00%
Index Inclusion: Excluded from all major Shariah indices

KEY FINANCIAL METRICS
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Debt Ratio: 0.0%
Liquidity Ratio: 100.0%
Interest Income Ratio: 100.0%
Purification Required: 100.00%

INDEX INCLUSION STATUS
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S&P Shariah: EXCLUDED
MSCI Islamic: EXCLUDED
DJIM: EXCLUDED
FTSE Shariah: EXCLUDED
Total: 0 of 4
Last Verified: 2026-01-31

REPORTING PERIOD
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Latest Annual Report: FY 2025
Latest Quarterly Data: Q4 2025
Trend Period: FY 2020 to FY 2025
Data Retrieved: 2026-02-28T12:00:00Z

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Full interactive report: https://amaly.io/stock/LQD
Provided by Amaly (https://amaly.io) — Shariah Compliant Stock Screener
Disclaimer: This data is for informational purposes only and does not constitute financial or religious advice.