What is Shinhan Financial Group Co., Ltd.'s Shariah compliance score?

Shinhan Financial Group Co., Ltd.'s (SHG) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does Shinhan Financial Group Co., Ltd. pass AAOIFI screening?

Shinhan Financial Group Co., Ltd. (SHG) 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% (SHG: 462323.4%), (3) interest-bearing deposits below 30% (SHG: 82979.2%), and (4) prohibited income below 5% (SHG: 82.4%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Shinhan Financial Group Co., Ltd. stock?

Shinhan Financial Group Co., Ltd. (SHG) has a non-permissible income ratio of 82.40%. Muslim investors should purify this percentage of any dividends received and capital gains realized from SHG 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 Shinhan Financial Group Co., Ltd. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Shinhan Financial Group Co., Ltd. (SHG) 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 SHG's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

SHG: Is Shinhan Financial Group Co., Ltd. Halal?

Shinhan Financial Group Co., Ltd.

NYSEFinancial ServicesKR

$70.58

-1.77%

Market Cap: 33.4B

Compliance Status

Not Halal

Screened on Jul 18, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is Shinhan Financial Group Co., Ltd. (SHG) halal? Not Halal. Based on AAOIFI screening, Shinhan Financial Group Co., Ltd. has involvement in prohibited business activities with a compliance score of 0/100 (Grade: F).

AvoidBorderlineClean

Business activity

Involved in prohibited business activities.

Failed

Company debt

Over the limit

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

462323.4% of 30.0% limit

What this means for you

Most scholars advise not holding SHG

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

About Shinhan Financial Group Co., Ltd.

Shinhan Financial Group Co., Ltd. is a prominent financial services provider that operates both within South Korea and globally. The company's diverse activities are organized into six primary divisions: Banking, Credit Card services, Securities, Life Insurance, Credit, and other specialized financial offerings. For individual clients, Shinhan offers a comprehensive suite of retail banking solutions. These include various deposit account types—demand, savings, and fixed—along with checking accounts. The group also provides personal lending options such as mortgages, home equity loans, and other consumer credit. Furthermore, it facilitates electronic banking, ATM access, bill payment, payroll and check processing, foreign currency exchange, and international money transfer services. The corporate banking arm of Shinhan caters to businesses with services like investment banking, financing for real estate (including overseas and development projects), infrastructure and structured finance, equity/venture capital investments, and advisory for mergers and acquisitions. It also handles securitization, offers derivative products, engages in foreign exchange trading, and provides working capital and facilities loans. Shinhan Financial Group is also actively involved in treasury and investment operations within international capital markets. This includes trading foreign currency-denominated securities, providing a range of foreign exchange services, offering trade-related financial support, international factoring, and managing foreign banking operations. Beyond its core banking and investment functions, the company provides numerous other financial provisions. These encompass trust account management, securities brokerage, and professional asset management. Additional services extend to equipment leasing and financing, specialized savings banking, loan collection and credit reporting, administration of collective investment schemes, private equity investments, and the development of advanced financial systems. By the close of 2021, Shinhan maintained an extensive network of 784 service centers, 5,234 automated teller machines (ATMs), 7 cash dispensing units, and 85 digital kiosks to serve its customers. Established in 1982, Shinhan Financial Group Co., Ltd. is based in Seoul, South Korea.

Sector: Financial Services · Industry: Banks - Regional

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 18, 2026

Business Activity Screen

Failed

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

Prohibited industry: Banks - Regional

Compliance History

Not Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

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

Fiscal: FY 2025Data source: FMP

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

$368.41

+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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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 Shinhan Financial Group Co., Ltd. (SHG) halal to invest in?

Shinhan Financial Group Co., Ltd. (SHG) 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 Shinhan Financial Group Co., Ltd. get a F compliance rating?

Shinhan Financial Group Co., Ltd. (SHG) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 462323.4% (limit 30%); interest-bearing deposits of 82979.2% (limit 30%); prohibited income of 82.40% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Shinhan Financial Group Co., Ltd.'s Shariah verdict?

Shinhan Financial Group Co., Ltd.'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 Shinhan Financial Group Co., Ltd. re-screened for Shariah compliance?

Shinhan Financial Group Co., Ltd. (SHG) 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.