What is LPL Financial Holdings Inc.'s Shariah compliance score?

LPL Financial Holdings Inc. (LPLA) has a Shariah compliance score of 67/100 (Grade: B, Acceptable) based on AAOIFI screening standards. Scores above 70 typically indicate strong compliance. The score factors in business activity screening and financial ratio analysis including debt levels, interest-bearing deposits, and prohibited income percentages. View the full breakdown at HalalScreener.app.

Does LPL Financial Holdings Inc. pass AAOIFI screening?

LPL Financial Holdings Inc. (LPLA) partially passes with caution 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% (LPLA: 27.9%), (3) interest-bearing deposits below 30% (LPLA: 5.1%), and (4) prohibited income below 5% (LPLA: 1.2%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for LPL Financial Holdings Inc. stock?

LPL Financial Holdings Inc. (LPLA) has a non-permissible income ratio of 1.19%. Muslim investors should purify this percentage of any dividends received and capital gains realized from LPLA 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 LPL Financial Holdings Inc. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for LPL Financial Holdings Inc. (LPLA) 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 LPLA's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

LPLA: Is LPL Financial Holdings Inc. Halal?

LPL Financial Holdings Inc.

NASDAQFinancial ServicesUS

$324.90

-1.77%

Market Cap: 26.0B

Compliance Status

Doubtful

Screened on Jul 18, 2026 · AAOIFI Standard 21

Acceptable

67Score

Is LPL Financial Holdings Inc. (LPLA) halal? Doubtful. Based on AAOIFI screening, LPL Financial Holdings Inc. passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 67/100 (Grade: B).

AvoidBorderlineClean

Business activity

What the company sells is permissible.

Passed

Company debt

Close to the limit

How much the company borrows, compared to its total value. AAOIFI allows up to 30%.

27.9% of 30.0% limit

What this means for you

You may own LPLA, with caution

Its numbers sit close to AAOIFI limits. Cautious investors may prefer alternatives or ask a scholar first.

Purify 1.2% of your income from LPLA

That is about $1.20 of every $100 you earn from it. Donate this share to charity.

Calculate my exact amount

About LPL Financial Holdings Inc.

LPL Financial Holdings Inc., operating through its subsidiaries, delivers an integrated ecosystem of brokerage and investment advisory solutions. These services are primarily aimed at independent financial professionals and advisors affiliated with financial institutions across the United States. The firm's brokerage division offers a diverse range of financial instruments, encompassing various annuities (both variable and fixed), mutual funds, equities, and savings vehicles for retirement and education. It also includes fixed income products, insurance, and specialized alternative investments such as non-traded real estate investment trusts and auction rate notes. Furthermore, LPL provides advanced advisory platforms that facilitate access to mutual funds, exchange-traded funds (ETFs), stocks, bonds, specific option strategies, unit investment trusts, institutional money managers, and no-load multi-manager variable annuities. The company also extends its offerings to include money market programs and versatile retirement solutions. These solutions support both commission-based and fee-based services, empowering advisors to furnish brokerage services, consultation, and strategic advice to retirement plan sponsors. Additional services encompass essential tools designed to help advisors maintain and grow their practices. LPL also offers trust, investment management oversight, and custodial services tailored for estates and families, alongside insurance brokerage general agency services. Complementing these are sophisticated technology products, including proposal generation, investment analytics, and portfolio modeling capabilities. Founded in San Diego, California, in 1989, the company initially operated as LPL Investment Holdings Inc. before officially changing its name to LPL Financial Holdings Inc. in June 2012.

Sector: Financial Services · Industry: Financial - Capital Markets

Why This Stock Is Doubtful

Debt is 27.9% of market cap, only 2.1 points below the 30% AAOIFI limit

Stocks are marked Doubtful when financial ratios pass but approach AAOIFI thresholds. Consider consulting a qualified scholar for a definitive ruling.

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 18, 2026

Compliance History

Doubtfulnow
since Jul 2026
Not Halal
until the change above

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

Fiscal: Q1 2026Data source: EDGAR

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Frequently Asked Questions

Is LPL Financial Holdings Inc. (LPLA) halal to invest in?

LPL Financial Holdings Inc. (LPLA) is rated Doubtful under AAOIFI Standard 21. It passes the business activity screen but one or more financial ratios are approaching (though not yet exceeding) the AAOIFI thresholds (30% for debt and interest deposits, 5% for prohibited income). Consult a qualified Islamic finance scholar for a personal ruling.

Why did LPL Financial Holdings Inc. get a B compliance rating?

LPL Financial Holdings Inc. (LPLA) received a grade of B (Acceptable) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 27.9% (limit 30%); interest-bearing deposits of 5.1% (limit 30%); prohibited income of 1.19% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change LPL Financial Holdings Inc.'s Shariah verdict?

LPL Financial Holdings Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.

How often is LPL Financial Holdings Inc. re-screened for Shariah compliance?

LPL Financial Holdings Inc. (LPLA) 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 18, 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.