| name | parallax-halal-screen |
| description | Shariah-compliant stock screening: filter for halal investments, check compliance flags, explain screening criteria, and suggest compliant alternatives via Parallax MCP tools. NOT for general thematic screening (use /parallax-thematic-screen), not for portfolio construction (use /parallax-portfolio-builder). |
| negative-triggers | ["General thematic screening → use /parallax-thematic-screen","Portfolio construction → use /parallax-portfolio-builder","Non-compliance screening → use /parallax-earnings-quality"] |
| gotchas | ["JIT-load _parallax/parallax-conventions.md for RIC resolution, parallel execution, and fallback patterns","explain_methodology does NOT support shariah/halal — valid concepts are value, quality, momentum, defensive, tactical, overall, factor_weighting, scoring","Shariah thresholds are hardcoded in this skill (AAOIFI/DJIM standards) — derive compliance from get_financials data","get_financial_analysis (Palepu framework) is async ~2-5 min — warn user before calling","Financial ratios from get_financials help verify debt/revenue compliance thresholds"] |
Halal / Shariah Screen
Screen stocks and portfolios for Shariah compliance using AAOIFI/DJIM screening thresholds applied to Parallax financial data.
AAOIFI / DJIM Screening Thresholds
These are the standard Shariah compliance thresholds used in this skill. They are applied to data retrieved from get_financials.
| Ratio | Threshold | Pass condition |
|---|
| Total debt / Total assets | < 33% | Low leverage — no excessive interest-bearing debt |
| (Cash + interest-bearing securities) / Total assets | < 33% | Limited exposure to interest-bearing instruments |
| (Interest income + non-permissible revenue) / Total revenue | < 5% | Negligible income from haram activities |
Business activity screen (qualitative): The company's primary business must not be in prohibited industries (conventional banking/insurance, alcohol, tobacco, gambling, pork, weapons, adult entertainment). This is assessed from get_company_info sector/industry data.
Purification ratio: If a stock passes all quantitative screens but has non-zero non-permissible income, the purification percentage = (non-permissible income / total income). Shareholders should donate that percentage of dividends received.
Usage
/parallax-halal-screen AAPL.O
/parallax-halal-screen [{"symbol":"AAPL.O","weight":0.25},{"symbol":"JPM.N","weight":0.25},{"symbol":"JNJ.N","weight":0.25},{"symbol":"XOM.N","weight":0.25}]
/parallax-halal-screen "build halal portfolio in Southeast Asian equities"
Workflow
JIT-load _parallax/parallax-conventions.md for RIC resolution, parallel execution, and fallback patterns.
Step 0 — Tool loading
Call ToolSearch with query "+Parallax" to load the deferred MCP tool schemas before the first mcp__claude_ai_Parallax__* call. Without this step, all Parallax tool calls below fail with "tool not found."
For single stock compliance check:
- Call
get_company_info to retrieve sector/industry — check against prohibited industries (banking, alcohol, tobacco, gambling, pork, weapons, adult entertainment).
- Call
get_financials with statement "balance_sheet" to retrieve total debt and total assets. Compute: total debt / total assets. FAIL if >= 33%.
- Call
get_financials with statement "balance_sheet" to retrieve cash and interest-bearing securities. Compute: (cash + interest-bearing securities) / total assets. FAIL if >= 33%.
- Call
get_financials with statement "ratios" to retrieve interest income and revenue figures. Compute: (interest income + non-permissible revenue) / total revenue. FAIL if >= 5%. If >0% but <5%, compute purification ratio.
- Optionally call
get_financial_analysis for deeper profitability decomposition (warn user: async ~2-5 min).
- Call
get_score_analysis for quality trajectory.
- Present compliance verdict with all three ratio values and pass/fail per threshold.
For portfolio screening:
- For each holding, run the single-stock compliance check (steps 1-7 above).
- Call
check_portfolio_redundancy on compliant holdings only.
- For non-compliant holdings, call
build_stock_universe with "[sector]" to find alternatives, then screen those alternatives through the same compliance check.
- Call
get_peer_snapshot on compliant alternatives to score them.
Output Format
- Screening Criteria (AAOIFI/DJIM thresholds as listed above)
- Compliance Results (table: symbol, compliant Y/N, reason if non-compliant)
- Key Ratios (debt/assets %, interest-bearing/assets %, non-permissible revenue %)
- Purification Amount (if applicable — percentage of dividends requiring purification)
- Alternatives (for non-compliant holdings: scored compliant replacements in same sector)
- Compliant Portfolio (if portfolio mode: restructured allocation with only halal holdings)
These are analytical outputs based on AAOIFI/DJIM screening thresholds applied to Parallax financial data, not investment advice or a fatwa. Consult a qualified Shariah advisor for binding rulings.