SP Funds Files for Two Shariah-Compliant Equity ETFs

SP Funds Management has filed to launch two Shariah-compliant ETFs, expanding its lineup with U.S. small-cap and equity income strategies. The SP Funds U.S. Small Cap ETF (SPUR) will passively track the U.S. SmallCap Shariah Index, which selects companies from the S&P SmallCap 600 after screening for prohibited business activities and excessive leverage. Constituents are market-cap weighted, with individual holdings capped at 10%. The SP Funds Equity Income ETF (SPDI) will be actively managed, investing at least 80% of assets in income-producing equities. It will focus on financially strong companies with consistent earnings, established dividend records and stable or growing payouts. SPDI may also invest in affiliated Shariah-compliant ETFs, including funds focused on global REITs, sukuk and technology.