Is AAL.L (Anglo American plc) Halal or Haram?

Based on our AAOIFI-standard shariah screening, AAL.L is classified as Doubtful. It passed 3 of 4 compliance screens. Some scholars may permit investing with income purification, while others advise avoiding it. We recommend consulting a qualified Islamic scholar before investing in AAL.L.

Anglo American plc is a global mining heavyweight headquartered in London, known for its diverse portfolio of essential resources . The company is a major producer of diamonds through its De Beers subsidiary, alongside significant operations in copper, platinum group metals (PG Ms), and premium quality iron ore. This diversification allows them to supply key ingredients for everything from jewelry to the green energy transition, making them a cornerstone of the industrial materials sector. For Muslim investors, Anglo American presents a mixed picture, resulting in a 'Doubtful' compliance status. While the core business of mining natural resources is inherently permissible, the company fails the financial screening regarding leverage. Specifically, the debt-to-market-cap ratio is 42.4%, which breaches the AAOIFI threshold of 33%, signaling that the company relies more heavily on interest-bearing debt than Sh ariah standards allow. Financial health is critical in Islamic investing, and while Anglo American maintains a safe level of cash and interest-bearing securities (16.6% of market cap), the debt burden is the primary red flag. Investors should also note that interest income remains low at 1.99% of revenue, well within the 5% tolerance limit, meaning the company isn't generating significant profit from impermissible sources. Investors interested in the mining sector should monitor AAL.L closely for changes in its capital structure or share price appreciation, which could bring the debt ratio back under the 33% limit. Until then, conservative investors following AAOIFI standards would typically avoid this stock or wait for the next quarterly review to see if the leverage profile improves. Anglo American plc operates in the Basic Materials sector under the Industrial Materials industry and is headquartered in London, GB. The company is led by CEO Duncan Graham Wanblad and employs approximately 55,542 people.

AAL.L was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. AAL.L passed 3 of these 4 screens.

AAL.L was last screened on 2026-02-24. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.