Falls Church, Virginia, June 14, 2017 (GLOBE NEWSWIRE) -- Azzad Asset Management, a socially responsible, faith-based investment firm, announced today that its Muslim clients are expected to donate a record amount of money this year in order to fulfill their religious obligation of giving in charity a certain percentage of their wealth.
The company calculates that its clients will give approximately $3.9 million in zakah (mandatory charitable giving) and an additional $700,000 in purification dues, bringing the total to $4.6 million.
In a statement, Azzad said:
Charity is essential to the proper practice of Islamic investing, and we hold ourselves to the highest standard when it comes to calculating accurate zakah and purification amounts for our clients. We are honored to help our clients with their religious duties and are gratified to facilitate the donation of $4.6 million to the underprivileged in society. We remain committed to the ethical, Islamic business practices on which we were founded and look forward to providing this essential service for many years to come, God willing.
Azzad reports the amounts to clients in an annual statement issued during the month of Ramadan. Many Muslims choose to pay their zakah during Ramadan--a month of fasting, worship, and giving--which began this year at sunset on May 26. The firm is an advocate of Islamic investing, including zakah and purification, and regularly educates the American Muslim community on these sometimes complex issues.
See: Calculating Zakah on Modern Financial Assets (Azzad Funds website)
The third pillar of Islam, zakah--sometimes spelled zakat--is universally recognized among the faithful as an obligation that every Muslim must pay on assets above a minimum threshold if they have owned them for a full lunar year.
Islam mandates that zakah be assessed on accumulated wealth in order to encourage the free flow of capital and avoid a concentration of resources among the very few. Zakah is not a tax on income, but on wealth and savings in order to help those in need. Muslims are also strongly encouraged to give charity voluntarily according to their means in addition to the obligatory zakah.
Azzad follows best practices and guidelines issued by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI). AAOIFI is a consortium of Muslim scholars who convene to issue guidelines on halal investing and other financial matters. AAOIFI Standard Number 21, which outlines the principles of Islamic investing and includes specific guidance on zakah and purification, is considered the authority for Islamic financial services firms.
About Azzad Asset Management
Since 1997, Azzad Asset Management has provided investment services designed to help clients enjoy optimum performance without compromising their values. Azzad is a member of the Forum for Sustainable and Responsible Investment the Accounting and Auditing Organization for Islamic Financial Institutions, and the Interfaith Center on Corporate Responsibility. The firm is a registered investment advisor based in Falls Church, Virginia.
Contact: Azzad Investment Communications Director Joshua Brockwell, 703-207-7005, ext. 109, joshua@azzad.net; Azzad Marketing Associate Amina Rubin, 703-207-7005, ext. 120, amina@azzad.net
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