SPUS vs HLAL: Which Halal ETF Should You Actually Buy?
Published August 6, 2026 · 6 min read
Short answer: both are legitimate core holdings — the choice is about which screening methodology you want applied to your money. Here's the comparison that matters, without the performance-chasing.
| SPUS | HLAL | |
|---|---|---|
| Sponsor | SP Funds | Wahed |
| Index | S&P 500 Shariah Industry Exclusions | FTSE USA Shariah |
| Screen family | AAOIFI-based (S&P Shariah) | FTSE Shariah (total-assets denominators) |
| Universe | S&P 500 only | Broader US market |
| Character | "The halal S&P 500" | Slightly wider, different sector tilts |
How to actually decide
- If you want the market benchmark, screened: SPUS — its behavior tracks the S&P 500's compliant subset most closely.
- If you prefer FTSE's screening philosophy (ratios over total assets rather than market cap — less sensitive to price swings): HLAL.
- Check the current expense ratios and spreads before buying — both change; the sponsors publish them daily. Cost differences between the two have historically been small.
- Whichever you pick, watch concentration: screening removes banks and leveraged firms, so both funds run heavier in tech than the unscreened market. If you also hold individual tech stocks, your true exposure is bigger than it looks.
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What's the real difference between SPUS and HLAL?
The screening methodology. SPUS tracks the S&P 500 Shariah Industry Exclusions index (AAOIFI-based rules applied to the S&P 500). HLAL tracks the FTSE USA Shariah index (FTSE's screen over a broader US universe). Different rules → somewhat different holdings and sector weights, though both end up tech-heavy.
Can I hold both SPUS and HLAL?
You can, but it adds little: their top holdings overlap heavily (the same screened mega-caps dominate both). Most investors pick one as the core US equity position and diversify with an international fund (UMMA, SPWO) or sukuk (SPSK) instead.
Are SPUS and HLAL actually sharia-compliant?
Both track indexes maintained under recognized methodologies with scholar oversight and periodic purification guidance published by the fund sponsors. Holdings can drift between rebalances — which is why some investors also spot-check the underlying stocks.
Which has performed better?
Performance flips depending on the window, driven mostly by how each screen weights mega-cap tech. Choose on methodology, cost, and liquidity — not on which happened to win the last 12 months.
Related: Best halal ETFs: the complete list · Which US stocks are halal?
Educational content, not a fatwa or financial advice. Scholarly positions differ — consult a qualified scholar for your situation.