What is John Hancock Preferred Income Fund III's Shariah compliance score?

John Hancock Preferred Income Fund III's (HPS) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does John Hancock Preferred Income Fund III pass AAOIFI screening?

John Hancock Preferred Income Fund III (HPS) 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% (HPS: 0.0%), (3) interest-bearing deposits below 30% (HPS: 0.0%), and (4) prohibited income below 5% (HPS: 100.0%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for John Hancock Preferred Income Fund III stock?

John Hancock Preferred Income Fund III (HPS) has a non-permissible income ratio of 100.00%. Muslim investors should purify this percentage of any dividends received and capital gains realized from HPS shares by donating it to charity. HalalScreener's purification calculator at halalscreener.app/en/purification automates this calculation using the latest financial data.

Where can I screen John Hancock Preferred Income Fund III for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for John Hancock Preferred Income Fund III (HPS) and 10,000+ other US-listed stocks, ETFs, and 100+ cryptocurrencies. The screening uses AAOIFI Standard No. 21 and shows all financial ratios transparently. No credit card or signup required for basic screening. HalalScreener also includes an AI Islamic Scholar for follow-up questions about HPS's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

HPS: Is John Hancock Preferred Income Fund III Halal?

John Hancock Preferred Income Fund III

NYSEFinancial ServicesUS

$14.60

+0.69%

Market Cap: 469.2M

Compliance Status

Not Halal

Screened on Jul 14, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is John Hancock Preferred Income Fund III (HPS) halal? Not Halal. Based on AAOIFI screening, John Hancock Preferred Income Fund III 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.

124.2% of 5.0% limit

73% of the basket's holdings were screened individually.

About John Hancock Preferred Income Fund III

The John Hancock Preferred Income Fund III (HPS) functions as a closed-end investment vehicle, primarily focused on fixed-income securities. Its overall management falls under John Hancock Investment Management LLC, with additional co-management provided by John Hancock Asset Management. The fund strategically allocates capital within the United States' fixed-income markets, aiming to acquire debt instruments from companies operating across a diverse array of sectors. A significant portion of its portfolio is dedicated to preferred securities and other fixed-income instruments that possess an investment-grade credit rating or higher from either Moody's or Standard & Poor's. To assess its performance, the fund measures itself against both the Bank of America Merrill Lynch Hybrid Preferred Securities Index and the Barclays U.S. Aggregate Bond Index. This U.S.-domiciled fund was originally established on June 19, 2003.

Sector: Financial Services · Industry: Asset Management - Income

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 14, 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% (124.2%)

Basket Composition

73% 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.

124%

Halal5%

Doubtful5%

Not Halal124%

Unknown0%

Top Holdings

WFCWells Fargo and CompanyNot Halal2.90%BACBank of America CorporationNot Halal2.57%The Phoenix Companies Inc.Unknown2.28%Athene Holding Ltd.Unknown2.23%VSTVistra Corp.Not Halal2.14%TDSTelephone and Data Systems Inc.Halal2.04%Venture Global LNG IncNot Halal1.93%CMSCMS Energy CorporationNot Halal1.91%Athene Holding Ltd.Unknown1.89%ETEnergy Transfer LPNot Halal1.87%

Compliance History

Not Halalnow
since Jul 2026
Under Review
until the change above

Tracked since May 2026. Updates automatically on each re-screen.

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:

GLDA+

SPDR Gold Shares

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+0.17%

SLVA+

iShares Silver Trust

$50.78

+0.47%

PSLVA+

Sprott Physical Silver Trust

$21.30

+6.23%

PHYSA+

Sprott Physical Gold Trust

$31.75

+0.19%

ABA+

AllianceBernstein Holding L.P.

$36.03

-1.13%

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Mastercard Incorporated

A+

PYPL

PayPal Holdings, Inc.

C+

BAC

Bank of America Corporation

WFC

Wells Fargo & Company

Free · No credit card required

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Frequently Asked Questions

Is John Hancock Preferred Income Fund III (HPS) halal to invest in?

John Hancock Preferred Income Fund III (HPS) 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 John Hancock Preferred Income Fund III get a F compliance rating?

John Hancock Preferred Income Fund III'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 John Hancock Preferred Income Fund III's Shariah verdict?

John Hancock Preferred Income Fund III'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 John Hancock Preferred Income Fund III re-screened for Shariah compliance?

John Hancock Preferred Income Fund III (HPS) 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: Jul 14, 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.