Is Alaris Equity (AD.UN) halal?

Alaris Equity Partners Income Trust (TSX: AD.UN) is an alternative-financing trust whose recognized interest income is about 15% of revenue — about three times the ~5% ceiling — so it fails the income gate: FAIL.

The two-gate Shariah screen

Every screener on this site runs the same two gates: first, the business must be halal (no conventional insurance, banking, alcohol, gambling, weapons manufacturing, and the like); second, the financial ratios must clear (debt under roughly 33% of market cap, non-compliant income under roughly 5%).

Gate one: the business — alternative financing with interest-bearing instruments

Alaris Equity Partners Income Trust provides alternative financing to private companies (called 'partners') primarily through structured equity — preferred equity plus common equity, subordinated debt and promissory notes — and in return receives 'distributions, dividends or interest' plus potential capital appreciation. Its Q1 2026 financial statements show partner investments held as preferred and debt instruments with a carrying value of C$1,464.749 million. No alcohol, gambling, weapons, tobacco, or adult-entertainment business is disclosed — but earning interest is an explicit, disclosed part of the model, which is what gate two measures.

Gate two: the ratios — the income gate fails decisively

The trust's Q1 2026 filing states it recognized C$5.7 million of interest income on intercompany loans bearing 10–12%, against C$37.369 million of revenue — about 15.3%, about three times the ~5% ceiling. The Q2 2026 MD&A shows C$11.717 million of intercompany-loan interest over six months against C$80.285 million of revenue — about 14.6%. Q2 2026 alone: C$5.918 million against C$42.916 million — about 13.8%. Every disclosed period fails the income gate decisively. The debt gate passes on the balance-sheet figure: total debt of about C$274.0 million against a market cap of about C$890.9 million (45,641,000 units at C$19.52, September 29, 2026) — about 30.8%, under the ~33% ceiling. One caveat: the trust guarantees a US$450 million senior credit facility held by its acquisition entities (C$390.1 million drawn at March 31, 2026); including the guaranteed drawn balance would put debt at about 74.5% of market cap. Either way, the income failure is decisive.

What other screeners say

None of Zoya, Musaffa, or ShariaPortfolio cover AD.UN — site-restricted searches of zoya.finance and musaffa.com returned zero results, and no ShariaPortfolio stock page for the ticker was located. There is no third-party rating to cite; this screener rests on the trust's own published filings and releases.

The bottom line

This screener gives Alaris Equity Partners Income Trust (TSX: AD.UN) a FAIL. Recognized interest income of about 15% of revenue (about 14.6% over six months) is decisively over the ~5% ceiling — on verified filing numbers, in every disclosed period. Debt passes on the balance-sheet figure (about 30.8% of market cap), and no alcohol, gambling, or weapons business is disclosed — the failure is purely income-driven. Snapshot dated September 29, 2026; re-checked quarterly after earnings.

Sources

Frequently asked questions

Is Alaris Equity stock halal?

No — Alaris Equity Partners Income Trust (TSX: AD.UN) fails the income gate decisively. Recognized interest income was C$5.7 million against C$37.369 million of revenue in Q1 2026 (about 15.3%), and C$11.717 million against C$80.285 million over six months (about 14.6%) — about three times the ~5% ceiling. The debt gate passes on the balance-sheet figure (about 30.8% of market cap), and no alcohol, gambling, or weapons business is disclosed — but the income failure is decisive. None of Zoya, Musaffa, or ShariaPortfolio cover AD.UN. Consult a qualified scholar.

Why is Alaris Equity's interest income so high?

Because earning interest is part of its stated business model: the trust provides alternative financing to private partner companies through structured equity — preferred equity, common equity, subordinated debt and promissory notes — and receives 'distributions, dividends or interest' in return. Its Q1 2026 filing states it recognized C$5.7 million of interest income on intercompany loans bearing 10–12%, and its Q2 2026 MD&A shows C$11.717 million of intercompany-loan interest over six months. Its Q1 2026 financial statements show partner investments held as preferred and debt instruments with a carrying value of C$1,464.749 million.

What are Alaris Equity's debt and market-cap figures?

Motley Fool reports total debt of C$273.19 million for Q2 2026 (all long-term), plus a C$0.791 million lease liability from the Q1 2026 statements — about C$274.0 million. Market cap is about C$890.9 million (45,641,000 units outstanding at a C$19.52 unit price on September 29, 2026). Debt-to-market-cap is about 30.8% — under the ~33% ceiling. One caveat: the trust guarantees a US$450 million senior credit facility held by its acquisition entities (C$390.1 million drawn at March 31, 2026); including the guaranteed drawn balance would put the ratio at about 74.5%. Either way, the income-gate failure is decisive.

What does Alaris Equity Partners Income Trust do?

It provides alternative financing to private companies (called 'partners') primarily through structured equity — preferred equity plus common equity, subordinated debt and promissory notes — and in return receives 'distributions, dividends or interest' plus potential capital appreciation. Partners at Q1 2026 included companies across equipment finance, leasing, healthcare, and business services. On September 14, 2026 it announced a C$100 million bought-deal unit offering (4,465,000 units at C$22.40), a US$95 million investment in a new partner, Nexus Enterprises LLC, and a distribution increase.

What do Zoya, Musaffa, and ShariaPortfolio say about AD.UN?

None of the three cover AD.UN: site-restricted searches of zoya.finance and musaffa.com returned zero results, and no ShariaPortfolio stock page for the ticker was located. There is no third-party rating to cite for this stock — this screener rests on the trust's own published filings and releases.