Islamic Investment Funds: A Practical Introduction for Values-Based Investors

Islamic investment funds have emerged as an alternative for investors seeking Sharia-compliant financial growth. Whether you're new to the concept or seeking to diversify your halal portfolio, this article breaks down the benefits, key considerations, and how providers like Hejaz are helping investors leverage Sharia-compliant opportunities in Australia. 

What Makes Islamic Investment Funds Different?

Islamic investment funds follow the principles of Sharia finance. The main goal? To let your money work in ways that are halal (permissible) under Islamic law. 

Here are a few things that set them apart from conventional funds: 

No Interest (Riba)

Islamic investment funds avoid interest-bearing instruments and instead focus on profit-sharing and asset-backed investments. 

No Haram Industries

Companies involved in weapons, alcohol, gambling, tobacco, pork products, or other industries that contradict Islamic financial principles are excluded. 

Financial Ratio Screening

Companies must meet strict financial standards, such as limits on debt levels and interest income, which helps align their financial structure aligns with Islamic values. 

These principles don’t just make Islamic investment funds suitable for Muslim investors; they also appeal to values-based investors who want to avoid haram industries or excessive speculation. 

Why Consider Islamic Investment Funds in Australia?

Australia's financial landscape is evolving, and the demand for halal financial services is on the rise. Whether your focus is on Islamic ETF Australia or comprehensive Sharia finance solutions, there is now more choice than ever before. 

Here are the key reasons driving more investors towards Islamic investment funds: 

• Aligned with Faith and Values: These funds offer a way to grow wealth without compromising core beliefs.
• Transparency and Governance: Sharia-compliant funds often involve additional layers of value-based screening and oversight.
• Diverse Options Available: From property to equity to income-focused strategies, investors can choose from a wide range of halal investment options to match their goals and risk tolerance.

How Hejaz Supports Your Halal Investment Journey

If you're ready to explore Islamic investment funds in Australia, Hejaz is a name you can turn to. As an established provider of Islamic finance services, Hejaz offers a comprehensive suite of halal investment options, including exchange-traded funds (ETFs). 

What Makes Hejaz Stand Out? (H3) 

• In-depth experience in Sharia finance across Australia since its inception in 2014.
• A commitment to transparency and compliance.
• Sharia-certified and compliant with AAOIFI standards.

What Islamic Investment Funds Does Hejaz Offer?

Hejaz offers halal investment funds designed for individual investors seeking Sharia-compliant options with accessibility, diversification, and transparency. These funds include Hejaz Equities Fund Active ETF (ASX: ISLM), Hejaz Property Fund Active ETF (ASX: HJZP), Hejaz Sukuk Active ETF (ASX: SKUK), Hejaz High Income Active ETF (ASX: HJHI), and Hejaz High Innovation Active ETF (ASX: HHIF). 

Ultimately, investing isn’t just about numbers. It’s about what those numbers represent. For Muslim and values-based investors, Islamic investment funds offer a meaningful way to grow wealth with purpose and integrity. With providers like Hejaz at the forefront of halal financial services, Sharia-compliant investing in Australia is now more transparent and accessible than ever. 

Disclaimer:  

Hejaz Asset Management Pty Ltd (ABN 69 613 618 821, AFSL 550009) is the Investment Manager for Hejaz investment funds. Information on the Hejaz website, in product documents, or promotional materials is general in nature and does not consider your personal circumstances. You should read the relevant PDS or offer document before making an investment decision. Investments carry risk, and past performance is not an indicator of future results. Sharia compliance is based on the interpretation of our appointed Sharia advisers.