Is BlackRock U.S. Carbon Transition Readiness ETF halal to invest in?

As of September 2026, BlackRock U.S. Carbon Transition Readiness ETF LCTU is classified as not halal according to Musaffa’s Shariah screening methodology. This classification is based on an assessment of the company’s business activities and financial ratios against Islamic investment guidelines.

Is BlackRock U.S. Carbon Transition Readiness ETF a Shariah-compliant ETF?

An ETF is considered Shariah-compliant if its underlying assets consist primarily of companies that operate in permissible business activities and meet Islamic financial screening thresholds. Musaffa analyzes BlackRock U.S. Carbon Transition Readiness ETF using these criteria to determine its compliance status.

How often is the Shariah compliance for BlackRock U.S. Carbon Transition Readiness ETF updated?

The Shariah compliance status of BlackRock U.S. Carbon Transition Readiness ETF may be updated periodically when new portfolio disclosures, financial statements of underlying companies, or other relevant information becomes available.

Can a halal ETF like BlackRock U.S. Carbon Transition Readiness ETF become non-compliant?

Yes. An ETF that is currently Shariah-compliant may become non-compliant if its underlying holdings change or if the financial ratios of the companies within the fund exceed Shariah thresholds.

Where can I check the Shariah status of BlackRock U.S. Carbon Transition Readiness ETF?

You can check the latest Shariah compliance status of BlackRock U.S. Carbon Transition Readiness ETF on Musaffa's ETF page, where screening results and key indicators are updated to help Muslim investors make informed decisions.

BlackRock U.S. Carbon Transition Readiness ETF LCTU

LCTU Shariah Compliance

Screening Methodology: AAOIFI

As of September 2026, BlackRock U.S. Carbon Transition Readiness ETF is classified as not halal.

NOT HALAL

Is BlackRock U.S. Carbon Transition Readiness ETF Halal?

Shariah Compliance Analysis of LCTU ETF

US Equity Theme

No. As of September 2026, BlackRock U.S. Carbon Transition Readiness ETF (LCTU) is classified as NOT HALAL by Musaffa under its AAOIFI-based Shariah screening methodology. BlackRock U.S. Carbon Transition Readiness ETF does not pass Musaffa's business and financial screening criteria.

LCTU was created on 2021-04-06 by iShares. The fund's investment portfolio concentrates primarily on theme equity. The ETF currently has 1431.71m in AUM and 293 holdings. LCTU is an actively-managed portfolio of large- and mid-cap US firms in the Russell 1000 Index that are selected and weighted with a preference for lower carbon emissions.

BlackRock U.S. Carbon Transition Readiness ETF (LCTU) Chart

Key Statistics of BlackRock U.S. Carbon Transition Readiness ETF (LCTU)

Today's Open

AUM

Avg. Volume

Expense Ratio

P/E Ratio

P/B Ratio

Sector Exposure

Information Technology
28.83%
Financials
12.66%
Health Care
12.22%
Consumer Discretionary
10.25%
Industrials
8.90%
Communication Services
6.42%
Consumer Staples
5.90%
Other
3.81%
Energy
3.59%
Materials
2.70%
Real Estate
2.45%
Utilities
2.27%

FAQ's for BlackRock U.S. Carbon Transition Readiness ETF (LCTU)

As of September 2026, BlackRock U.S. Carbon Transition Readiness ETF LCTU is classified as not halal according to Musaffa’s Shariah screening methodology. This classification is based on an assessment of the company’s business activities and financial ratios against Islamic investment guidelines.
An ETF is considered Shariah-compliant if its underlying assets consist primarily of companies that operate in permissible business activities and meet Islamic financial screening thresholds. Musaffa analyzes BlackRock U.S. Carbon Transition Readiness ETF using these criteria to determine its compliance status.
The Shariah compliance status of BlackRock U.S. Carbon Transition Readiness ETF may be updated periodically when new portfolio disclosures, financial statements of underlying companies, or other relevant information becomes available.
Yes. An ETF that is currently Shariah-compliant may become non-compliant if its underlying holdings change or if the financial ratios of the companies within the fund exceed Shariah thresholds.
You can check the latest Shariah compliance status of BlackRock U.S. Carbon Transition Readiness ETF on Musaffa’s ETF page, where screening results and key indicators are updated to help Muslim investors make informed decisions.