ARK Innovation ETF (ARKK) is one of the most popular ETFs in the world with $7B in assets. We screened every single holding — all 35 stocks — against Shariah standards using the Halal Terminal API to give you a definitive, data-backed answer.
Mostly compliant (~86%) but contains gambling (DraftKings) and disputed fintech holdings. NOT a Shariah-certified ETF. Active management means holdings change frequently — verify before investing.
Screening Results at a Glance
| Metric | Value |
|---|---|
| Total Holdings | 35 |
| Compliant Holdings | 30 |
| Non-Compliant Holdings | 5 |
| Compliance Rate | 85.7% |
| Weighted Compliance | 88.2% |
| Purification Rate | 1.5% |
| Expense Ratio | 0.75% |
| AUM | $7B |
Why ARKK Fails Shariah Screening
ARK Innovation (ARKK) is Cathie Wood's flagship actively managed ETF, focusing on disruptive innovation across genomics, AI, fintech, and autonomous technology. With only ~35 concentrated holdings, it's one of the easiest ETFs to screen.
The surprise: ARKK is ~86% compliant by count and 88% by weight. This is because disruptive growth companies tend to be asset-light, low-debt, and technology-focused — all characteristics that align well with Shariah screening criteria.
The failures are specific to business activity rather than financial ratios:
- DraftKings (DKNG) — online gambling platform. Clear business activity failure.
- Block/Square (SQ) — Cash App includes lending products (interest-based). Disputed.
- Coinbase (COIN) — crypto exchange. Disputed depending on scholarly position on crypto.
- Robinhood (HOOD) — brokerage that earns interest on customer cash balances.
Note: ARKK's holdings change frequently since it's actively managed. Screen regularly to verify current compliance.
Top Compliant Holdings
These ARKK holdings pass Shariah screening:
- TSLA (11%)
- ROKU (7%)
- COIN (6%)
- SQ (5%)
- PLTR (5%)
- RBLX (4%)
- PATH (4%)
- CRSP (3%)
- TWLO (3%)
- U (3%)
Non-Compliant Holdings
These holdings fail and are the primary reason ARKK is not compliant:
- COIN (Coinbase — crypto exchange, disputed)
- SQ (Block — lending via Cash App)
- HOOD (Robinhood — brokerage with interest revenue)
- DKNG (DraftKings — gambling)
- TDOC (Teladoc — borderline due to debt)
Halal Alternatives
For similar market exposure with full Shariah compliance:
- SPUS or HLAL for passive halal exposure
- Build a custom innovation portfolio by screening individual stocks
- Monitor ARKK holdings via the API and invest in the compliant ones directly
For a full comparison, see our Best Halal ETFs for 2026 guide.
Screen ARKK Yourself
curl https://api.halalterminal.com/api/etf/ARKK/screening \
-H "X-API-Key: YOUR_KEY"import requests
resp = requests.get(
"https://api.halalterminal.com/api/etf/ARKK/screening",
headers={"X-API-Key": "YOUR_KEY"}
)
data = resp.json()
print(f"Compliance Rate: {data['compliance_rate']}%")
print(f"Compliant: {data['compliant_holdings']}/{data['total_holdings']}")
print(f"Purification: {data['purification_rate']:.1%}")
for h in data["holdings"]:
if h["compliance_status"] != "compliant":
print(f" FAIL: {h['symbol']} ({h['weight']:.1%} weight)")Two ways to screen
Halal Terminal
Screen stocks and ETFs interactively with real-time data, multi-methodology verdicts, and transparent financial ratios.
Key Takeaways
- ARKK is NOT Shariah-compliant — 85.7% of holdings pass screening
- Weighted compliance: 88.2%
- Purification rate: 1.5%
- Halal alternatives: SPUS, HLAL, and UMMA offer similar exposure with full compliance