Is Schwab U.S. Small-Cap ETF halal to invest in?

As of September 2026, Schwab U.S. Small-Cap ETF SCHA 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 Schwab U.S. Small-Cap 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 Schwab U.S. Small-Cap ETF using these criteria to determine its compliance status.

How often is the Shariah compliance for Schwab U.S. Small-Cap ETF updated?

The Shariah compliance status of Schwab U.S. Small-Cap 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 Schwab U.S. Small-Cap 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 Schwab U.S. Small-Cap ETF?

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

Schwab U.S. Small-Cap ETF SCHA

SCHA Shariah Compliance

Screening Methodology: AAOIFI

As of September 2026, Schwab U.S. Small-Cap ETF is classified as not halal.

NOT HALAL

Is Schwab U.S. Small-Cap ETF Halal?

Shariah Compliance Analysis of SCHA ETF

US Equity Small Cap

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

SCHA was created on 2009-11-03 by Schwab. The fund's investment portfolio concentrates primarily on small cap equity. The ETF currently has 19642.6m in AUM and 1744 holdings. SCHA tracks a market-cap-weighted index of US stocks ranked 751-2,500 by market cap.

Schwab U.S. Small-Cap ETF (SCHA) Chart

Key Statistics of Schwab U.S. Small-Cap ETF (SCHA)

Today's Open

AUM

Avg. Volume

Expense Ratio

P/E Ratio

P/B Ratio

Sector Exposure

Industrials
18.03%
Financials
15.89%
Health Care
14.44%
Consumer Discretionary
13.68%
Information Technology
13.64%
Real Estate
5.74%
Materials
5.08%
Energy
5.03%
Consumer Staples
3.14%
Communication Services
2.81%
Utilities
1.93%
Other
0.59%

FAQ's for Schwab U.S. Small-Cap ETF (SCHA)

As of September 2026, Schwab U.S. Small-Cap ETF SCHA 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 Schwab U.S. Small-Cap ETF using these criteria to determine its compliance status.
The Shariah compliance status of Schwab U.S. Small-Cap 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 Schwab U.S. Small-Cap ETF on Musaffa’s ETF page, where screening results and key indicators are updated to help Muslim investors make informed decisions.