Azzad Ethical Wrap Program
Our full-service investment management and financial planning program is a smarter way to invest.
As your wealth grows, your family’s needs become more complex, and your financial life requires more attention. The experienced, professional investment team at Azzad can help you manage your wealth while staying in harmony with the values you cherish.
For high net worth clients, we offer a full-service bundled financial planning, advisory, and investment management package called the Azzad Ethical Wrap Program.
A wrap program “wraps” all services under a single fee. For many people, the wrap fee will make those services available at a fraction of the cost of paying for them separately.
The minimum initial investment for the Azzad Ethical Wrap Program is $500,000.
With Azzad, you get access to:
We screen all investments with our proprietary software, which follows halal investing guidelines established by AAOIFI (the Accounting and Auditing Organization for Islamic Financial Institutions).
Our Shariah compliance processes are verified by an independent auditor.
Azzad manages 11 diversified investment strategies in different asset classes.
We can give you access to these portfolios: large-cap growth and value, mid-cap growth and value, small-cap growth and value, international, dividends, real estate investment trusts (REITs), and halal fixed income.
8 PORTFOLIO MANAGEMENT TEAMS
Our investment strategies are managed by an array of experienced portfolio management teams at eight investment firms that specialize in their asset classes.
Essentially, Azzad maintains the halal screening process and the portfolio managers do the stock picking within those parameters.
Because of industry reporting practices, even strict screening can’t guarantee 100% of revenue was halal.
Scholars say investors should “purify” their investments by donating to charity the small amount that may have come from impermissible sources.
Azzad calculates purification amounts for clients.
In addition to purification, we calculate zakah totals on your brokerage accounts with us and provide you with a statement each year during Ramadan.
We also provide educational resources to help you understand how to calculate zakah on non-investment assets such as rental properties, jewelry, or business goods.
You’ll receive personalized service and advice from your Azzad financial advisor.
Your advisor can help you with tax planning, estate planning, and much more.
Our advisors hold credentials including CERTIFIED FINANCIAL PLANNERTM and Certified Shariah Advisor and Auditor.
Azzad gives you access to a wide variety of asset classes
We offer you diversification with 11 portfolios and mutual funds and 8 portfolio management teams:
- Large cap value managed by SKBA Capital Management
- Dividends (large-cap blend) managed by Azzad
- Large cap growth managed by Ziegler Capital Management
- Mid cap value managed by Azzad
- Mid cap growth mutual fund
- Mid cap growth model managed by DF Dent & Company
- Small cap value managed by Tributary Capital Management
- Small cap growth managed by Kayne Anderson Rudnick
- Fixed income mutual fund managed by Federated Hermes
- Real estate investment trusts (REITs) managed by Azzad
Personal, Visionary Planning
When you’re a wrap client, you have access to services including:
Best of all, we help you build your wealth based on a truly ethical investment philosophy. Your adviser shares your values enabling them to address success at all levels. We’ll apply a host of tools to better understand your needs and goals and provide a comprehensive financial plan to help you achieve them.
In designing the portfolio right for you, we will:
- Target an optimal asset allocation strategy for the best risk/return combination
- Forecast future wealth using Monte Carlo efficient frontier graphs
- Provide a cash flow report
- Include companies we believe have strong fundamentals, but do not harm society
- Exclude companies that profit from alcohol, tobacco, gambling, meat products and others
- Consider taxes, inflation and ongoing savings to determine if your long-term needs and goals will be met
Read more about the Ethical Wrap Program and our world-class portfolio managers in our brochure.
We begin our process making sure we have a deep understanding of your goals and risk tolerance. Your Ethical Wrap account may contain a well-diversified set of portfolios allowing you to invest in a variety of asset classes, including domestic and international stocks, real estate investment trusts, and more. Throughout our relationship, we provide you with ongoing financial planning and advice.
Azzad Managed Asset Allocation Strategies
Our wrap program offers fully diversified portfolios to meet every investor’s long-term goals and risk style, from conservative to aggressive.
Your investments will be regularly screened for halal compliance and regularly rebalanced to reflect your needs and investment goals. Through our client portal, you can view your accounts’ holdings, transactions and performance, as well as your consolidated year-end tax statement. A wrap program is simple and cost-effective, with one annual fee based on account value.
Investment Firms Participating in Azzad’s Ethical Wrap Program
The Ethical Wrap Program’s money managers are experienced professionals with proven track records who are committed to investing your money according to our ethical investment guidelines.
They use our proprietary software to identify acceptable companies and then use their own investment analysis to identify those that are promising. Azzad’s internal investment team manages the real estate investment trust (REIT) and dividend portfolios.
Azzad’s investment team oversees the following managers, subject to continual due diligence and review:
Delaware Funds by Macquarie provides investment sub-advisory services, including portfolio management, investment research and analysis, to registered investment companies.
It is a subsidiary, and subject to the ultimate control, of Macquarie Group Limited (“Macquarie”). Macquarie is a Sydney, Australia-headquartered global provider of banking, financial, advisory, investment and funds management services.
As of December 31, 2020, the public investments divisions of Macquarie’s asset management business had total assets under management of approximately $268.1 billion.
D.F. Dent was founded as an independent investment counseling firm by Daniel F. Dent in 1976.
The firm is wholly owned by its nine principals and is unaffiliated with any other financial organization. It manages $6.1 billion as of 6/30/2019.
D.F. Dent provides portfolio management services to individuals, high net worth individuals, corporate pension and profit‐sharing plans, Taft‐Hartley plans, wrap‐fee programs/UMAs, charitable institutions, foundations, endowments, municipalities, registered mutual funds, private investment funds, trust programs, and other U.S. institutions.
Federated Investment Management Company is a subsidiary of Federated Hermes, Inc., one of the largest investment managers in the United States.
Federated provides comprehensive investment management to institutions and intermediaries including corporations, government entities, insurance companies, foundations and endowments, banks and broker/dealers.
As of December 31, 2019, Federated Investment Management Company had $376,842,608,825 in total assets under management.
Kayne Anderson Rudnick Investment Management (KAR) was founded in 1984 by two successful entrepreneurs, Richard Kayne and John Anderson, to manage the funds of its principals and clients. John Anderson was a prominent Los Angeles attorney and businessman, member of the Forbes 400 and named benefactor of The Anderson School of Business at The University of California, Los Angeles. As of December 31, 2019, Kayne Anderson Rudnick’s total assets under management was approximately $33 billion.
Clients include corporate and public pension plans, foundations, endowments, brokerage firms, and high-net-worth individuals. Our range of domestic equity and fixed income strategies all embody our unified investment philosophy. The firm, headquartered in Los Angeles, is wholly owned by Virtus Investment Partners (NASDAQ: VRTS).
SKBA Capital Management, LLC was founded in 1989 by a team of senior professionals who joined in 1976 to form the Institutional Investment Management Group at the Bank of California.
SKBA is a majority employee-owned investment adviser registered with the Securities and Exchange Commission. As of December 31, 2019 SKBA managed approximately $699 million on a discretionary basis.
The firm employs a collaborative team approach to investing which brings together over three decades of experience to investment management. SKBA’s goal is to emphasize long-term wealth accumulation while avoiding risk of a permanent loss of capital. Its managers are disciplined, value managers.
Tributary Capital Management’s parent company has a rich history dating back to the mid-1800s.
They are a wholly owned subsidiary of First National Bank of Omaha, which is a wholly owned subsidiary of First National of Nebraska, the largest privately held financial services company in the United States.
Firm equity assets, including model portfolios, wrap accounts, separately managed accounts and mutual funds (excluding sub-advised funds) were $2.7 billion as of December 31, 2019. They are an investment adviser registered with the Securities and Exchange Commission. The firm manages assets for corporations, mutual funds and other institutions. The firm’s investment team averages nearly eighteen years of industry experience, including over eight years with Tributary. Five of their investment professionals hold the CFA® charter.
Ziegler Capital Management, LLC is a registered investment adviser based in Chicago and provides investment solutions for institutions, mutual funds, municipalities, pension plans, Taft Hartley plans, and individual investors.
As of December 31, 2019, ZCM has statutory assets under discretionary management of $10.7 billion and non-discretionary assets of $41.6 million.
Getting Started with the Azzad Ethical Wrap Program
Opening your Ethical Wrap Program account is a simple process.
As the first step, one of our advisors will send you a short quiz to learn your investing risk tolerance. Once you know your risk number, the advisor will help you understand your investing profile and risk tolerance.
Starting with your risk profile, we will assign you to one of our recommended asset allocation strategies. Next, you’ll meet with your Azzad Asset Management financial advisor to review your plan, make any needed adjustments, and begin the process to open the appropriate accounts. We can work with you to transfer and consolidate accounts you may have with other firms.
As your financial situation changes, we encourage you to consult with your advisor on goals that are important to you, including planning for and stretching your assets through retirement, saving for children’s education, estate planning, charitable giving, and any other financial needs.
You will be able to access your account online to view your performance, transaction history, holdings, statements and more.
Literature and Disclosures
- Form ADV Part 2A
- Form ADV Part 2B
- Ethical Wrap Brochure
- IRA Disclosure Agreement
- Roth IRA Disclosure Agreement
- SIMPLE IRA Disclosure Agreement