Manzil Pivots to Self-Directed Trading to Target Halal Market
AI-generated image · Bay Street Wire
The Toronto-based fintech is expanding its U.S. footprint with a 'halal version of Robinhood' to capture underserved Muslim investors.
Toronto-based fintech startup Manzil has launched self-directed halal stock trading in the United States, according to BetaKit. The move marks a shift from the company's previous U.S. model, which offered only managed portfolios following the acquisition of Aghaz Investments.
Founder and CEO Mohamad Sawwaf told BetaKit the new platform functions as a "halal version of Robinhood," providing an all-in-one solution for investors who previously had to use separate trading and screening apps. The mobile app allows users to trade individual U.S. equities screened for Sharia compliance, avoiding sectors such as gambling, weapons, tobacco, and alcohol, as well as interest-based financial services. To facilitate this, Manzil has partnered with Zoya for Sharia screening.
While Manzil previously offered managed accounts in partnership with Alpaca, Sawwaf stated the company is now moving toward a "you trade it yourself" model. The expansion is part of a broader global growth strategy; Manzil has introduced international know-your-client capabilities and currently restricts app availability to users in the U.S., the United Kingdom, Bahrain, Qatar, Saudi Arabia, and the United Arab Emirates, according to BetaKit.
The scale of the opportunity is significant. BetaKit reports there are approximately 4.5 million Muslims in the U.S. and 1.8 million in Canada, representing a small portion of the nearly two billion Muslims worldwide. Sawwaf indicated that halal trading capabilities could eventually reach Canadian users if partner Alpaca enters that market.