5d • 🌍 ETFs & Funds
Markets are down 10%. Should you buy, hold, or wait?
This week, every halal investing community is asking the same question: halal ETFs are down 10% from their recent highs. What do you do?
Here is the honest, practical answer.
FIRST: UNDERSTAND WHAT JUST HAPPENED
The recent pullback is primarily driven by US trade policy uncertainty (tariffs), not a fundamental collapse in business values. The companies inside SPUS, HLAL, HIWS, and MWIM haven't become 10% less valuable. Their stock prices moved. That's different.
THREE POSITIONS YOU COULD TAKE
1. DO NOTHING
If you already invest regularly (monthly DCA) and have a long time horizon (5+ years): do nothing. Your next scheduled purchase will automatically buy at lower prices. The system is working as designed. This is the correct answer for most people.
2. BUY MORE (if you have cash available)
If you have cash sitting outside your portfolio that you were going to invest anyway, a 10% pullback is a reasonable time to deploy it. You are not "timing the market" — you are investing at a discount.
Crucial caveat: Only use money you won't need for 3+ years. Do not invest your emergency fund. Do not invest money you might need for a house purchase.
3. WAIT FOR A BIGGER DROP
This is a trap. Nobody knows if markets will fall another 10% or recover 15% next week. The cost of waiting is real: you miss the recovery. Markets have historically recovered from corrections.
THE HALAL INVESTOR ADVANTAGE
Here's something worth naming: values-based investors tend to panic-sell less than conventional investors.
When you've done the work to screen your holdings — when you know WHY you own SPUS or HIWS — you are less likely to sell in fear. You're not just holding a number. You understand the underlying businesses. That conviction is a genuine portfolio advantage.
THE PRACTICAL CHECKLIST FOR THIS WEEK
✓ Check that your asset allocation still matches your plan (not your emotions)
✓ If you have monthly DCA, let it run as scheduled
✓ If you have surplus cash and a 5+ year horizon, consider deploying some of it
✓ Do not check your portfolio more than once a week — it just triggers anxiety
✓ Remember: short-term volatility is the price of long-term returns
Zakat note for Ramadan: If this week's drop pushed your portfolio below the nisab threshold on your Zakat anniversary date, your Zakat obligation may be reduced or eliminated for this year. Calculate on the actual value at your hawl date, not what it was a month ago.
What is your plan this week — buy, hold, or something else? Let's hear it.
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Markets are down 10%. Should you buy, hold, or wait?
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