Assets under management (AUM): $67.1M (in US$ millions) - See other performance data below
General Fund Type: Equity Mid-Small Cap
Specific Sizes or Types of Investments: Mid-cap equities
Financial Objective: Long-term growth
Specific ESG Focus: The Azzad Ethical Fund screens out investments that profit from products or industries that harm society and the environment and considers companies' debt ratios as well as their practices with respect to environmental responsibility, labor standards, and human rights. More details are below under "Screening Process." We believe that companies operating responsibly offer promising opportunities for sustainable growth over the long term. Investors in the Azzad Funds can align their investment goals with the broader objective of social well-being.
To invest, call: 888-862-9923
Azzad Asset Management
Mutual Funds Description: Azzad has been managing socially responsible portfolios since 1997. We sponsor a wrap program for retail clients who demand a comprehensive investment solution using asset allocation, rebalancing, socially responsible screening and a unique broker platform. Azzad also manages and is the investment advisor to the Azzad Funds. For institutional clients, Azzad manages international and real estate model portfolios.
Minimum Account: $1,000
Screening Venue: In-house
Jamal Barmil, Portfolio Manager
Screening Database Used:
A proprietary software called ISFA
We screen out companies that derive significant revenue (more than 5%) from areas that violate our ethical investment guidelines. These include interest (conventional financial institutions), alcohol, tobacco, pornography, pork products, gambling, and weapons. We consider a company's debt ratio as well as its practices with respect to environmental responsibility, labor standards, and human rights. With an eye toward social justice, we do not invest in securities that violate the UN Global Compact or that are involved in hydraulic fracturing (fracking), for-profit prisons, or other socially and environmentally destructive industries.
Our ethical investment philosophy strives to identify companies that are financially responsible, which means that companies with high debt are excluded because we believe they may be in financial peril. Specifically: Debt to asset and debt to market cap (12 month trailing average) should be less than 30%. Interest income to sales ratio should be less than or equal to 5%. Accounts receivables to assets ratio should be less than or equal to 45%.
Our ethical screening doesn’t stop once a portfolio is created; we regularly re-screen our portfolios. If we find a company is no longer compliant, we sell it. We believe that halal investing is part of the wider movement toward the promotion of sustainability as a key element of economic life.
Proxy Voting Guidelines or Policies: Full proxy voting policy: http://www.azzad.net/pages/ProxyVoting.aspx . Azzad engages in shareholder advocacy on behalf of investors in accordance with our ethical proxy voting guidelines.
Proxy Voting Records: Call fund company: (703) 207-7005 x101
- Climate / Clean Technology: Restricted/Exclusionary Investment - UN Global Compact Principles. No companies involved in hydraulic fracturing (fracking).
- Pollution / Toxics: Restricted/Exclusionary Investment - UN Global Compact Principles
- Other Environmental: Restricted/Exclusionary Investment - UN Global Compact Principles
- Human Rights: Restricted/Exclusionary Investment - UN Global Compact Principles
- Labor Relations: Restricted/Exclusionary Investment - UN Global Compact Principles
- Sudan: No Investment
- Alcohol: No Investment
- Animal Welfare: Restricted/Exclusionary Investment
- Defense/Weapons: No Investment
- Gambling: No Investment
- Tobacco: No Investment
- Other/Qualitative: No investment (by fund policy) in conventional financial institutions. No investment (by fund policy) in pork products. No investment (by fund policy) in pornography. No investment (by fund policy) in companies involved in hydraulic fracturing (fracking). No investment (by fund policy) in international areas of conflict. No investment (by fund policy) in companies managing for-profit/private prisons.
- Shareholder Engagement - Shareholder Resolutions: Filed or co-filed with companies on environmental, social or governance issues
- Shareholder Engagement - Private Dialogue: Conducted with companies on environmental, social or governance issues
Year-to-date rate of return: 9.26%
1-year rate of return: 11.88%
3-year rate of return: 3.57%
5-year rate of return: 7.77%
10-year rate of return: 7.29%
Previous year rate of return: 2.48%
Management fee: 0.8%
Expense ratio: 0.99%
Standard deviation: 9.59%
Benchmark used: Russell Mid Cap Growth
Disclaimer: The Azzad Funds are available through prospectus only. Please contact us for a free copy.