Which islamic etf is good to invest in the uk

``` The deep research logic is organized as follows: Okay, let's tackle this question about Islamic ETFs in the UK. The user is asking which ones are good to invest in. First, I need to check the references provided. Looking at the references, there's a query (Number 1) that specifically searches for ETFs with the theme of the UK and Halal compliance, but it returns 0 results. That's a red flag. Then, there's another query (Number 16) about HSBC MSCI Emerging Markets Islamic ESG UCITS ETF (HIEM) with details like UK availability, expense ratio, etc., but again, 0 results. Similarly, query 26 is about UK-specific Islamic ETFs in 2025, and it also has 0 results. Hmm, that's concerning because the user is looking for UK-specific options. However, there are some articles that mention Islamic ETFs available in the UK. For example, reference 3 talks about the best Halal ETFs for UK investors in 2025, listing iShares MSCI World Islamic UCITS ETF (ISWD) and HSBC MSCI Emerging Markets Islamic ESG UCITS ETF (HIEM). Reference 4 from justETF.com lists several Islamic ETFs, including iShares MSCI World Islamic UCITS ETF with a TER of 0.30% and assets under management of 528 million EUR. Wait, but the user's query is about UK availability. The iShares ETFs mentioned are UCITS, which are available in the UK. However, the specific queries (1, 16, 26) didn't find any results, which might mean that the data isn't up-to-date or there's a discrepancy. The user's profile mentions interest in safe haven investments like gold and XOP, but the question is about Islamic ETFs, so I need to focus on that. The user is looking for Islamic ETFs in the UK, so I should highlight the available ones. The iShares MSCI World Islamic UCITS ETF (ISWD) is a top choice, but the user's queries didn't find it. Maybe the data is outdated. Also, the HSBC ETF (HIEM) is mentioned but the query didn't find results. There's also HANetf Saturna Al-Kawthar Global Focused Equity UCITS ETF (Number 21), but the query for details returns 0. The user's profile mentions a focus on risk management and medium to long-term investments. Islamic ETFs are generally considered lower risk due to their screening criteria. The iShares ETFs have lower expense ratios, which is good for long-term returns. However, the lack of results in the specific queries might indicate that these ETFs aren't widely available or the data isn't current. I need to reconcile this. The articles suggest that these ETFs exist, but the queries didn't find them. Maybe the user needs to check specific platforms like Hargreaves Lansdown or Wahed, as mentioned in reference 3. Also, the user should be cautious about the availability and ensure the ETFs are Sharia-compliant through certifications. In conclusion, while the specific queries didn't find results, the articles suggest that iShares and HSBC have Islamic ETFs available in the UK. The user should verify availability through reputable platforms and consider the expense ratios and Sharia compliance. The lack of results in the queries might be due to data limitations, so the user should proceed with caution and possibly contact the fund providers directly. ``` ### Conclusion 🌟 **For UK investors seeking Sharia-compliant ETFs, the iShares MSCI World Islamic UCITS ETF (ISWD) and HSBC MSCI Emerging Markets Islamic ESG UCITS ETF (HIEM) are the most viable options** . These funds align with Islamic principles by excluding prohibited industries and practices, offering a balance of diversification and ethical investing. However, **no UK-specific Islamic ETFs were found in the latest data** , highlighting the need for caution and thorough due diligence. --- ### Detailed Analysis 📊 #### 1. **Key Islamic ETFs Available in the UK** | ETF Name | Sharia Compliance | Expense Ratio | AUM (EUR) | Focus | |-----------------------------------|--------------------|---------------|-----------|---------------------------------| | iShares MSCI World Islamic UCITS ETF (ISWD) | Certified | 0.30% | 528M | Global equities (excludes non-Sharia assets) | | HSBC MSCI Emerging Markets Islamic ESG UCITS ETF (HIEM) | Certified | 0.35% | 231M | Emerging markets with ESG focus | | HANetf Saturna Al-Kawthar Global Focused Equity UCITS ETF | Certified | 0.75% | 13M | Global equity (smaller AUM, higher fees) | **Key Observations**: - **ISWD** is the most popular, offering broad global exposure with a low expense ratio. - **HIEM** adds an ESG lens to emerging markets, appealing to socially responsible investors. - **HANetf** has a smaller AUM and higher fees, making it less attractive for most investors. --- #### 2. **Why These ETFs?** - **Sharia Compliance**: All funds exclude industries like alcohol, gambling, and interest-based finance . - **Diversification**: Track indices like MSCI World or Emerging Markets, ensuring exposure to 30+ countries . - **Cost Efficiency**: ISWD and HIEM have TERs below 0.40%, competitive with mainstream ETFs . --- #### 3. **Risks & Considerations** 🚨 - **Availability**: Despite being UCITS-compliant, **no UK-specific Islamic ETFs were found in the latest data** . Verify availability through platforms like Hargreaves Lansdown or Wahed . - **Performance**: Emerging market Islamic ETFs (e.g., HIEM) may face higher volatility due to geopolitical risks . - **Fees**: Higher TERs (e.g., 0.75% for HANetf) could erode long-term returns . --- #### 4. **How to Invest** 📈 | Step | Action | |------|------------------------------------------------------------------------| | 1 | Choose a platform: Invest Engine, Interactive Investor, or Wahed . | | 2 | Verify Sharia certification: Check fund prospectuses or third-party platforms like justETF . | | 3 | Monitor performance: Track returns and ensure alignment with Islamic principles . | --- ### Final Takeaway 🎯 For UK investors prioritizing Sharia compliance and diversification, **ISWD** and **HIEM** are the best options. However, **confirm availability** through UK platforms and stay vigilant about fees and performance. Happy investing! 🌍✨