--- title: "SP Funds Trust files for two Shariah ETFs, U.S. Small Cap and Equity Income" url: "https://etf.net/news/sp-funds-trust-files-for-two-shariah-etfs-u-s-small-cap-and-equity-income-2026-10-12" published_at: "2026-10-12T12:16:28.742Z" updated_at: "2026-10-12T12:16:28.742Z" byline: "ETF.net Research" --- # SP Funds Trust files for two Shariah ETFs, U.S. Small Cap and Equity Income Both funds are proposed at a 0.49% fee in a prospectus dated October 9, 2026, and neither has a trading date. By ETF.net Research. Published Oct 12, 2026. SP Funds Trust filed a preliminary prospectus on Friday, October 9, for two proposed stock funds screened under Shariah, Islamic-law investment rules. Some of the firm's fund names spell it Sharia. One fund would track U.S. small companies. The other would be actively managed and seek equity income. The prospectus is marked subject to completion, and the shares may not be sold until the registration with the Securities and Exchange Commission is effective. The trust already offers other funds, and this document adds two new ones. The filing proposes that the registration take effect 75 days after Friday, on Wednesday, December 23. That is when the registration could take effect, not a day the funds would begin trading. ## What each fund would do The SP Funds U.S. Small Cap ETF, which the filing assigns the ticker SPUR, would track, before fees and expenses, the U.S. SmallCap Shariah Index. The filing names S&P Dow Jones Indices as the firm that constructs and maintains the index, starting from the S&P SmallCap 600 Index. The stocks would be listed and domiciled in the United States. The filing says S&P uses an outside consultant to screen the stocks. A company is out if more than 5% of its total income comes from alcohol, gambling, weapons, tobacco, adult entertainment, pork products, music, cinema and broadcasting, highly-leveraged businesses, or interest-based businesses. The stocks must also pass quality screens. The fund would normally invest at least 80% of total assets in the index stocks. Composition and weights would be reevaluated each December, with further weight adjustments in March, June and September. The SP Funds Equity Income ETF, which the filing assigns the ticker SPDI, would not track an index. The filing says it seeks current income, with long-term capital appreciation as a secondary objective. It would normally invest at least 80% of total assets in income-producing stocks, looking for fundamentally strong companies with an established dividend record and a stable or growing dividend. The shares would be Shariah-compliant and listed on U.S. exchanges, including American depositary receipts, the U.S.-traded receipts for companies based abroad. SP Funds Management, LLC would be the investment adviser and would handle day-to-day management. Both funds list a management fee of **0.49%** and no other annual operating expenses. Each is proposed for listing on NYSE Arca, Inc. The filing says the income fund may also buy funds advised by SP Funds Management, in the document's words, to generate income. It names the SP Funds S&P Global REIT Sharia ETF, SPRE, the SP Funds Dow Jones Global Sukuk ETF, SPSK, and the SP Funds S&P Global Technology ETF, SPTE. Sukuk are Islamic bonds. The technology fund's name does not say Sharia, but it tracks technology companies screened under Shariah rules. ## What already trades The five SP Funds ETFs already trading hold $4.52 billion as of Monday, October 12. Most of that is the SP Funds S&P 500 Sharia Industry Exclusions ETF, SPUS, at $3.35 billion. It charges 0.45% and screens S&P 500 companies, not small caps. Chart: SPUS holds most of the family's **$4.52 billion** The sukuk and real estate funds charge 0.5%. The technology fund and the SP Funds S&P World (ex-US) ETF, SPWO, charge 0.55%. The proposed fee sits between SPUS and those four. The filing names Naushad Virji and Wasia Sheikh as the principal owners of SP Funds Management. Virji launched ShariaPortfolio, Inc. in 2014, and the filing calls that firm an affiliate of the adviser. In a Tuesday, January 27 release, the ShariaPortfolio group said it planned to add ETFs and financing products. "We continue to see demand from investors seeking Sharia-compliant exposure without sacrificing diversification, transparency, or long-term performance," said Naushad Virji, the group's founder, in that release. The Wahed FTSE USA Shariah ETF, HLAL, holds $993 million as of Monday, October 12, and charges 0.5%. It invests in large- and mid-size U.S. companies. The Manzil Russell Halal USA Broad Market ETF, MNZL, began trading in November 2025 and holds $35.3 million as of the same day. Manzil's launch announcement said it evaluates large-cap companies from the Russell 1000 Index. Both invest in larger U.S. companies than the small-cap fund in Friday's filing. Source: etf.net, https://etf.net/news/sp-funds-trust-files-for-two-shariah-etfs-u-s-small-cap-and-equity-income-2026-10-12. Please cite the page URL.