Wahed Company

Wahed Company: An Overview of an Ethical Investment Platform

1. Company Overview

Founding Date and Background

Wahed Inc., commonly referred to as Wahed, was founded in 2017 by Junaid Wahedna. It emerged as a response to the increasing demand for ethical and Shariah-compliant investment options, particularly for Muslim investors seeking to align their financial activities with their faith.

Parent Company/Ownership Structure

Wahed operates as a privately held company. It has received substantial funding, totaling approximately $45 million, from various investors, including Qatar Development Bank, which has helped it expand its services and reach.

Headquarters Location

Wahed's headquarters is located in New York City, New York, USA. The company also has regional offices in London, Dubai, and Kuala Lumpur, reflecting its global outreach.

Global Business Scope

Wahed provides digital investment services to clients in multiple countries, including the United States, the United Kingdom, Malaysia, and the United Arab Emirates. Its platform caters to a diverse clientele, focusing on ethical investing in accordance with Islamic principles.

Main Regulatory Bodies

Wahed operates under the oversight of various regulatory bodies, including the U.S. Securities and Exchange Commission (SEC) and the Financial Conduct Authority (FCA) in the UK. These regulatory frameworks ensure compliance with financial laws and protect investor interests.

Back to Top

2. Company History and Development

Key Milestones

Since its inception, Wahed has achieved significant milestones, including the launch of its Shariah-compliant robo-advisory platform. In July 2019, Wahed launched the first exchange-traded fund (ETF) in the United States compliant with Shariah law, further solidifying its position in the ethical investment space.

Business Expansion Journey

Wahed has progressively expanded its services and geographical reach. Initially focused on the U.S. market, it has successfully entered the UK, Malaysia, and UAE markets, adapting its offerings to meet local regulatory requirements and cultural expectations.

Customer Base Growth

The platform has experienced rapid growth in its customer base, reportedly managing assets totaling $842.6 million and serving over 23,000 clients as of 2025. This growth reflects the increasing interest in ethical investments among both Muslim and non-Muslim investors.

Platform Development History

Wahed's digital platform has evolved significantly since its launch. The company has continuously enhanced its user interface and experience, integrating advanced technologies to facilitate seamless investing for clients. The platform offers a variety of investment options tailored to individual risk profiles.

Important Awards or Recognitions Received

Wahed has received accolades for its innovative approach to ethical investing. It has gained recognition within the fintech community for its commitment to providing Shariah-compliant investment solutions and promoting financial literacy among its users.

Back to Top

3. Trading Services Offered

Forex Trading Options

Wahed does not currently offer forex trading services. Instead, it focuses primarily on Shariah-compliant investments in equities, ETFs, and other financial instruments.

Stock Trading Options

The platform allows users to invest in a range of U.S. and international stocks that meet its ethical investment criteria. Wahed's investment strategy emphasizes diversification and risk management, ensuring that portfolios are aligned with Islamic principles.

CFD Trading Products

Wahed does not offer Contracts for Difference (CFDs) as part of its trading services. The company concentrates on providing traditional investment options that comply with Shariah law, avoiding speculative trading practices.

Other Financial Instruments

Wahed provides access to a variety of financial instruments, including:

• Exchange-Traded Funds (ETFs): The platform offers ETFs that are Shariah-compliant, allowing investors to gain exposure to a diversified portfolio of stocks.
• Islamic Bonds (Sukuk): Investors can also invest in Sukuk, which are debt instruments compliant with Islamic law.
• Real Estate Investments: Wahed offers opportunities in real estate, providing clients with options to invest in properties that generate rental income.

Special Services or Unique Advantages

One of Wahed's unique advantages is its comprehensive Shariah compliance review process. All investments undergo rigorous scrutiny by a Shariah advisory board, ensuring that clients' funds are invested in a manner consistent with Islamic values. Additionally, the platform features a user-friendly mobile app, making it accessible for investors of all experience levels.

Back to Top

4. Regulatory and Legal Background

Detailed Regulatory Information

Wahed is regulated by several bodies, including:

• U.S. Securities and Exchange Commission (SEC)
• Financial Conduct Authority (FCA) in the UK
• Central Bank of Malaysia (Bank Negara Malaysia)
• Dubai Financial Services Authority (DFSA)

These regulatory frameworks ensure that Wahed adheres to high standards of transparency and investor protection.

Legal Entity Structure by Region

Wahed operates as a registered investment advisor in the United States and has established legal entities in other jurisdictions, including the UK and Malaysia. Each entity complies with local regulations governing financial services.

Client Fund Protection Measures

Wahed employs various measures to protect client funds, including:

• Segregation of client funds: Client assets are kept separate from company funds to ensure protection in the event of financial difficulties.
• Insurance coverage: Investments are insured up to $500,000 against loss due to brokerage insolvency through its custodian, Apex Clearing Corporation.

Countries/Regions Served

Wahed currently serves clients in the following countries:

• United States
• United Kingdom
• Malaysia
• United Arab Emirates
• Additional markets in the Middle East and Southeast Asia are under consideration for future expansion.

Compliance History

Wahed has maintained a strong compliance record, adhering to the regulatory standards set forth by the governing bodies in the jurisdictions in which it operates. The company has no significant disciplinary actions against it, reflecting its commitment to ethical practices.

Back to Top

5. Competitive Landscape

3-5 Main Competitors

Wahed competes with several firms in the ethical investment space, including:

• Fidelity Investments: A well-established investment firm offering a wide range of financial services.
• Betterment: A robo-advisor that provides automated investment management, including socially responsible investments.
• Acorns: A micro-investing platform that allows users to invest spare change in a diversified portfolio.

Positioning in the Industry

Wahed positions itself uniquely within the financial services industry by focusing exclusively on Shariah-compliant investments. This specialization allows it to cater to a niche market of Muslim investors seeking ethical investment solutions.

Market Differentiation Factors

Wahed differentiates itself through:

• Shariah Compliance: A rigorous review process ensures that all investment options are compliant with Islamic law.
• User-Friendly Technology: Its digital platform and mobile app provide an accessible and engaging user experience for investors.
• Educational Initiatives: Wahed emphasizes financial literacy, helping clients understand the principles of ethical investing and the importance of Shariah compliance.

Back to Top

In conclusion, Wahed has established itself as a leader in the ethical investment sector by providing Shariah-compliant investment options that cater to a growing market of socially conscious investors. With a focus on transparency, compliance, and customer service, it continues to expand its reach and influence within the global financial landscape. For more information on Wahed and its services, visit Wahed's official website.