Verified
Don't have to worry anymore
Been investing with them since 2018. The Growth fund has done well for me. I don't have to worry about whether my money is in something haram and the returns have been solid.
Naeem W.WA
23 found helpful
Amana Funds Amana Developing World Fund (AMDWX)
Halal Investing in California
5
Best for: Halal emerging market exposure
Seeks long-term capital growth by investing in common stocks of companies with significant exposure to emerging markets.
Amana Funds's Mutual Fund is a well-established mutual fund with a track record dating back to 1986. Best suited for: Longest-running Islamic mutual funds (since 1986).
Pros
- Available nationwide in all 50 states
- Uses Mutual Funds — a recognized Shariah-compliant structure
- High HalalWallet rating of 5/5
- Established provider with 40+ years of experience
Mutual FundsNationwideEst. 1986
Updated February 2026
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Product Details
Type
Mutual Fund
Account Types
Individual, IRA, Roth IRA
Screening Method
AAOIFI standards
Amana Funds in California
Amana Funds's Amana Developing World Fund (AMDWX) is available to investors in California, structured as a Mutual Funds. It holds a HalalWallet rating of 5/5. California has above-average state capital gains tax rates, which investors should factor into after-tax return calculations when comparing halal investment options. California is home to an estimated ~504K Muslims (1.3% of the population) (World Population Review, 2020 estimates). Amana Funds operates nationwide, so California residents have full access to this product.
Our Take on Amana Funds
Amana Funds are the most battle-tested halal investment option in the U.S. Their track record since 1986 provides performance data through multiple market cycles. Best for buy-and-hold investors who want halal mutual funds through their existing brokerage.
In-Depth Analysis
Amana Funds launched in 1986, making them the oldest halal investment option in the U.S. The fund family is managed by Saturna Capital, a Bellingham, Washington-based investment advisor.
The four Amana funds serve different investment objectives: AMAGX (Growth) focuses on U.S. large-cap growth, AMANX (Income) targets dividend-paying companies, AMDWX (Developing World) provides international exposure, and AMAPX (Participation) offers a more flexible approach. All four screen holdings for Shariah compliance using AAOIFI-aligned criteria.
Mutual fund expense ratios are generally higher than ETF alternatives. Check the current prospectus for exact fees. For cost-conscious investors, halal ETFs like SPUS (expense ratio: 0.45%) or HLAL (0.50%) may offer lower ongoing costs.
Shariah Compliance Details
- Saturna Capital applies Islamic investment principles through an internal committee using AAOIFI-aligned screening criteria.
- The screening process is managed internally by Saturna rather than by a formally named, independent external Shariah board.
How Amana Funds Compares
Wahed offers managed portfolios with ETFs. Wahed also provides retirement accounts. Compare total fees and investment approach.
SPUS is a halal ETF with expense ratio of 0.45%. ETFs generally have lower ongoing costs than mutual funds.
Bottom Line
Amana Funds are the longest-running halal investment option in the U.S. If you want a proven, low-maintenance halal investment through your existing brokerage, Amana is a strong choice. Compare expense ratios with halal ETF alternatives to understand the cost difference.
Read full Amana Funds reviewShariah Compliance & Oversight
Shariah Board
Operates as an Islamic investment manager whose funds are reviewed by qualified Sharia advisors to ensure ongoing compliance with Islamic principles.
Details
Reviewed by Amanie Advisors (independent Shariah board). Screened using established halal criteria.
Last Verified
2026-02
State Availability
Amana Funds serves all 50 states + DC
✓ Available nationwide including California
Start Investing — Amana Funds
Visit Amana Funds's website to get current terms, check eligibility for California, and get started today.
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Compare With Other Options in California
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Index-based · 49 states
User Reviews for Amana Funds
7 verified reviews
4.77 reviews
5★
5
4★
2
3★
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2★
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1★
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Verified
Even my non-Muslim advisor knows them
My financial advisor actually recommended Amana for the halal portion of my portfolio. The fact that even non-Muslim advisors know about them says a lot about their reputation.
Khadija M.NY
17 found helpfulBoring and effective
Simple review: I put money in, it grows, and I know it's halal. That's all I need. Been doing this for years with no complaints.
Ali F.IL
12 found helpfulHalal Investment Growth Estimate
See how your halal investments could grow over time
$10,000
$500/mo
8% annual
Total Value
$343,778
Contributed
$130,000
Growth
$213,778
Hypothetical projection. Past performance does not guarantee future results.
Compare FundsFrequently Asked Questions
What is Amana Funds Amana Developing World Fund (AMDWX)?
Seeks long-term capital growth by investing in common stocks of companies with significant exposure to emerging markets.
What Shariah oversight does Amana Funds Amana Developing World Fund (AMDWX) have?
Reviewed by Amanie Advisors (independent Shariah board).
Screened using established halal criteria.
Is Amana Funds Amana Developing World Fund (AMDWX) available in California?
Yes. Amana Funds Amana Developing World Fund (AMDWX) is available nationwide, including California. You can apply directly through the provider's website.
What Shariah oversight does Amana Funds have?
Amana Funds's Shariah compliance is overseen by: Operates as an Islamic investment manager whose funds are reviewed by qualified Sharia advisors to ensure ongoing compliance with Islamic principles.. Reviewed by Amanie Advisors (independent Shariah board).
Screened using established halal criteria..
What financing structure does Amana Funds Amana Developing World Fund (AMDWX) use?
Amana Funds Amana Developing World Fund (AMDWX) uses a Mutual Funds structure. This is a Shariah-compliant financing arrangement that avoids interest (riba).
How do I apply for Amana Funds Amana Developing World Fund (AMDWX) in California?
You can apply for Amana Funds Amana Developing World Fund (AMDWX) directly through the provider's website. Visit their official site to start your application, check current requirements, and get personalized information for California residents.
Does California tax halal investment returns?
Yes. California taxes capital gains as ordinary income, with rates up to 13.3% — the highest in the nation. Halal investment returns from ETFs, mutual funds, and wealth management are subject to these rates. Consider tax-advantaged halal retirement accounts (IRA, 401k) to defer California state taxes.
Is California a community property state for Islamic estate planning?
Yes. California is a community property state, meaning assets acquired during marriage are generally owned 50/50 by both spouses. This can conflict with Islamic inheritance (Faraid) rules. A transmutation agreement through an Islamic estate planning provider can realign property ownership with Shariah requirements.
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Reviewed by: HalalWallet Editorial Team•Last reviewed: 2026-04-01•Disclosure: Featured partners may compensate HalalWallet for clicks. Editorial policy and full disclosures.
Reviewed quarterly and updated for major content changes.
Important: HalalWallet provides educational information and comparisons to help you explore halal financial options. We do not provide financial, legal, or religious advice. Product structures and Shariah compliance oversight vary by provider. Always verify halal compliance directly with providers and consult with qualified Islamic finance advisors or scholars for guidance on specific products and your individual circumstances.