AMALY — SHARIAH COMPLIANCE REPORT
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Symbol: SQQQ
Report Date: 2026-04-02
Full Report: https://amaly.io/stock/SQQQ

EXECUTIVE SUMMARY
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Compliance Status: NON_COMPLIANT
Quality Rating: B
Description: SQQQ, an inverse leveraged ETF, fails Shariah compliance due to its speculative structure involving short-selling, derivatives, and interest-based leverage, which introduce elements of gharar, maysir, and riba. Financial ratios are inapplicable due to the ETF's non-traditional balance sheet, but business activity screening disqualifies it entirely. No inclusion in major Shariah indices confirms non-compliance across global standards. Investors should avoid SQQQ for Shariah portfolios, opting for compliant equity or sukuk alternatives. Purification is not applicable given the inherent non-compliance.

Primary Compliance Concerns:
- Speculative inverse ETF structure involving prohibited short-selling and derivatives
- Reliance on interest-bearing swaps for 3x leverage
- Insufficient traditional financial data for ratio screening; business model inherently non-compliant
- Exposure to gharar (uncertainty) and maysir (gambling) through daily rebalancing

Purification Requirement: 0.00%
Index Inclusion: Not included in any major Shariah-compliant indices

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

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: 2025-11-15

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: 2026-02-14T12:00:00Z

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Full interactive report: https://amaly.io/stock/SQQQ
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.