What is First Trust Mortgage Income Fund's Shariah compliance score?

First Trust Mortgage Income Fund's (FMY) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does First Trust Mortgage Income Fund pass AAOIFI screening?

First Trust Mortgage Income Fund (FMY) does not pass AAOIFI Shariah screening. AAOIFI requires: (1) no primary involvement in prohibited activities like alcohol, gambling, or conventional banking, (2) debt-to-market-cap below 30% (FMY: 0.0%), (3) interest-bearing deposits below 30%, and (4) prohibited income below 5%. HalalScreener provides free AAOIFI screening for 6,200+ stocks at halalscreener.app.

How much purification is needed for First Trust Mortgage Income Fund stock?

Muslim investors purify the portion of dividends and realized gains that comes from non-permissible income by donating it to charity. HalalScreener's purification calculator at halalscreener.app/en/purification computes the exact percentage and amount for First Trust Mortgage Income Fund (FMY) using the latest financial data.

Where can I screen First Trust Mortgage Income Fund for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for First Trust Mortgage Income Fund (FMY) and 5,100+ other US-listed stocks, ETFs, and 100+ cryptocurrencies. The screening uses AAOIFI Standard No. 21 and shows the verdict, compliance grade, score, and debt ratio free. No credit card or signup required for basic screening; the full ratio breakdown is part of Pro. HalalScreener also includes an AI Islamic Scholar for follow-up questions about FMY's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

FMY: Is First Trust Mortgage Income Fund Halal?

First Trust Mortgage Income Fund

NYSEFinancial ServicesUS

$11.64

+0.78%

Market Cap: 49.0M

Compliance Status

Not Halal

Screened on Aug 26, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is First Trust Mortgage Income Fund (FMY) halal? Not Halal. Based on AAOIFI screening, First Trust Mortgage Income Fund has involvement in prohibited business activities with a compliance score of 0/100 (Grade: F).

Basket rule

Over the limit

An ETF is halal when non-compliant holdings stay under 5% of the basket by weight.

100.0% of 5.0% limit

100% of the basket's holdings were screened individually.

About First Trust Mortgage Income Fund

The First Trust Mortgage Income Fund operates as a closed-end mutual fund primarily focused on generating income. It is managed by First Trust Advisors L.P., with Brookfield Investment Management Inc. sharing co-management responsibilities. The fund's investment mandate centers on the fixed income markets, specifically targeting a range of fixed income securities. A significant portion of its portfolio is dedicated to mortgage-backed securities (MBS), encompassing diverse categories such as pass-through certificates, collateralized mortgage obligations (CMOs), and both residential and commercial mortgage-backed instruments. Established on May 25, 2005, this U.S.-domiciled fund was initially known as the First Trust/FIDAC Mortgage Income Fund.

Sector: Financial Services · Industry: Asset Management - Income

Shariah Compliance Status

AAOIFI Standard 21Updated Aug 26, 2026

Business Activity Screen

Failed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Basket-weighted haram holdings exceed 5% (100.0%)

Basket Composition

100% of basket screened

ETFs are baskets of many stocks. AAOIFI-aligned rule: basket is halal when haram weight is under 5%. The purification share is the weighted prohibited-income contribution of the underlying holdings.

100%

Halal0%

Doubtful0%

Not Halal100%

Unknown0%

Top Holdings

MORGAN STANLEY INSTITUTIONAL LIQUIDITY FUNDSNot Halal3.67%FEDERAL HOME LOAN MORTGAGE CORPNot Halal2.19%PRIORITY 1 ISSUER LOGISTICS DACNot Halal2.10%SFO COMMERCIAL MORTGAGE TRUST 2021-555Not Halal2.02%FEDERAL NATIONAL MORTGAGE ASSOCIATIONNot Halal1.92%Preston Ridge Partners MortgagNot Halal1.90%REDWOOD FUNDING TRUST 2025-3Not Halal1.90%ADAMS OUTDOOR ADVERTISING LPNot Halal1.87%VERUS SECURITIZATION TRUST 2025-INV1Not Halal1.86%GREAT WOLF TRUST 2015-WOLFNot Halal1.84%

Fiscal: N/AData source: FMP-LOOKTHROUGH

Halal Alternatives in Financial Services

This stock is not Shariah-compliant. Here are halal alternatives from the same sector, ranked by compliance score:

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Sprott Physical Gold and Silver Trust

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Frequently Asked Questions

Is First Trust Mortgage Income Fund (FMY) halal to invest in?

First Trust Mortgage Income Fund (FMY) is rated Not Halal under AAOIFI Standard 21 screening. It fails either the business activity screen (primary involvement in prohibited sectors such as conventional banking, alcohol, or gambling) or one of the quantitative financial ratio thresholds. Muslim investors should avoid or exit this position.

Why did First Trust Mortgage Income Fund get a F compliance rating?

First Trust Mortgage Income Fund's compliance grade is determined by AAOIFI Standard 21 screening, a two-step process: (1) qualitative screen for prohibited business activities and (2) quantitative check of debt, interest deposits, and prohibited income ratios. Scroll up to see the detailed ratio breakdown.

What could change First Trust Mortgage Income Fund's Shariah verdict?

First Trust Mortgage Income Fund's verdict is recalculated whenever the fund rebalances or holdings change materially. If the haram-weight of underlying holdings crosses 5% (the AAOIFI threshold for fund look-through), the verdict will flip to Not Halal. HalalScreener rescreens ETFs at each rebalance cycle.

How often is First Trust Mortgage Income Fund re-screened for Shariah compliance?

First Trust Mortgage Income Fund (FMY) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Aug 26, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.