Wealthsimple introduces a new investment portfolio for observant Muslims

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Wealthsimple launches Halal Investing portfolio (CNW Group/Wealthsimple)

TORONTOAug. 23, 2017 /CNW/ – Wealthsimple has launched a Halal Investing portfolio, Canada’s first accessible, low-cost, diversified investment option offered through a digital platform. The new portfolio makes it really easy for clients to save for their future, while adhering to Islamic laws that prohibit investing in certain companies and financial products. Religious Muslims are prohibited from profiting from some forms of interest, as well as from certain business activities like alcohol, tobacco and gambling.

Wealthsimple’s Halal Investing portfolio uses the same passive investment strategy as Wealthsimple’s other portfolios, which tracks broad swaths of the market instead of picking individual stocks. And like Wealthsimple’s Standard and Socially Responsible Investing portfolios, there is no account minimum – investors can get started with as little as $1 – and fees remain a flat and transparent 0.4% to 0.5% of assets managed, depending on the amount invested. Investors can manage their accounts through Wealthsimple’s two-time Webby Award-winning digital platform, and have unlimited access to experienced financial advisors via phone, email or text message.

“We want to enable everyone to live their best financial lives by making really great financial products and advice simple and accessible,” said Michael Katchen, CEO and co-founder, Wealthsimple. “A lot of the common financial products are off the table for observant Muslims, and many of the available options are expensive or have high minimums. We wanted to offer a portfolio that had all the benefits of our other portfolios while being compliant with Islamic investing practices.”

With MSCI, a leading provider of research-based indexes and analytics, and the world’s largest provider of environmental, social and governance indexes, Wealthsimple designed the Halal Investing portfolio using a methodology approved by MSCI’s committee of Shariah scholars. The all-equity portfolio is comprised of 50 stocks designed to maximize diversification and closely track the MSCI ACWI Islamic Index. The stocks included in the portfolio were filtered using two screening processes: a business activity screen and a financial screen. The business activity screen filters companies that are directly active in, or derive over five percent of their revenue from, a prohibited activity such as alcohol, tobacco, gambling or pork production. The financial screen filters out companies that derive significant income from interest or have considerable leverage.

Wealthsimple brings professional investing to everyone, using an incredibly simple digital platform and low fees. Wealthsimple’s mission is to democratize wealth by making the best tools and advice accessible to everyone, regardless of who they are or how much they have to invest. Muslims – or anyone else – living in the Canada or the United States can sign up for the Halal Investing portfolio in minutes by going to www.wealthsimple.com/halal or downloading the iOS or Android app.

About Wealthsimple
Wealthsimple is an online investing service that combines user-friendly digital tools and personal financial advice to make smart, automated investing available to everyone. With no minimum account size and low fees, Wealthsimple makes investing simple, accessible, affordable and personalized. Available in the U.S. and Canada, and launching soon in the U.K., Wealthsimple is founded by a team of financial experts and technology entrepreneurs, and backed by Power Financial Corporation, a publicly-traded management and holding company. To learn more, visit www.wealthsimple.com.

SOURCE Wealthsimple

CONTACT: Rachael Factor, rachael@wealthsimple.com, 647-802-6751


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