AMALY — SHARIAH COMPLIANCE REPORT
==================================
Symbol: SOXS
Report Date: 2026-04-01
Full Report: https://amaly.io/stock/SOXS

EXECUTIVE SUMMARY
------------------
Compliance Status: NON_COMPLIANT
Quality Rating: B
Description: SOXS, the Direxion Daily Semiconductor Bear 3X Shares, is a leveraged inverse ETF designed to provide 3x inverse daily performance of the NYSE Semiconductor Index. This analysis reveals structural non-compliance with Shariah principles due to its reliance on derivatives, interest-bearing swaps, and speculative short-selling, which introduce riba, gharar, and maysir. Financial ratios are inapplicable or show zero values due to the ETF's non-traditional structure, but business activity screening disqualifies it outright. No inclusion in major Shariah indices confirms overall non-compliance, with medium ESG risks from indirect sector exposures. Investors should avoid SOXS and consider compliant equity alternatives in technology sectors.

Primary Compliance Concerns:
- Structural use of derivatives and leverage involving riba and gharar
- Speculative inverse positioning akin to maysir (gambling)
- Exclusion from all major Shariah indices due to business model
- Insufficient traditional financial data for ratio-based screening
- Indirect exposure to semiconductor supply chain human rights risks

Purification Requirement: 0.00%
Index Inclusion: Not included in any major Shariah-compliant indices (S&P, MSCI, FTSE, DJIM)

KEY FINANCIAL METRICS
----------------------
Debt Ratio: 0.0%
Liquidity Ratio: 0.0%
Interest Income Ratio: 0.0%
Purification Required: 0.00%

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

REPORTING PERIOD
-----------------
Latest Annual Report: FY 2025
Latest Quarterly Data: Q4 2025
Trend Period: FY 2020 to FY 2025
Data Retrieved: 2026-02-14T12:00:00Z

---
Full interactive report: https://amaly.io/stock/SOXS
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.