SYZNN Shariah Screening Standard v1
Shariah screening: the method
In short
SYZNN Shariah Standard v1 is a public, computational screen for shares listed on the Casablanca Stock Exchange. It checks a company’s business activity and four financial ratios against fixed thresholds, using only official documents that SYZNN fingerprints. It is derived from the SYZYG Shariah Screening Standard v1.3 and adapted to Morocco; the decision owner adopted it on 30 October 2026 then approved its publication as a mechanical calculation.
- A mechanical process: each result applies the published methodology, as written, to public documents (AMMC filings and official bulletins), identified by their SHA-256 fingerprint and page.
- No institutional verification: SYZNN does not verify the calculations, and no named reviewer or board signs them.
- Do your own research and due diligence: each result shows its documents, its amounts and its proof hash, so that you can redo it.
- A corrections channel open to everyone: if you find a discrepancy, report it with the evidence (the document and its page). An issuer can always correct through this channel.
- In the spirit of shurā (consultation), SYZNN invites volunteer verifiers and the wider community to verify together.
- It is not a fatwa, and it is not investment advice.
No result is published today: the calculation engine has not yet produced a result in which every amount resolves to a document and a page. So every issuer page shows “Shariah: not yet assessed”, with the specific reason.
Report a correction Become a volunteer verifier
What you will get, by phase (planned, no date promised)
- S1: financial statements as evidence, each field tied to its filing and page.
- S2: a business-activity screen in which every assignment cites a document.
- S3: the ratio engine, with purification, coverage and a reproducible proof hash.
- S4: mechanical release, with the corrections channel and community verification.
- S5: dated statuses on issuer pages and here, with the ratios and the reasons behind each result.
How to verify a result yourself
Nothing has to be taken on trust. Each published result carries everything needed to redo it.
- Open the company’s result page (the chip on its issuer page links to it).
- For each amount used, the page gives the source document, its SHA-256 fingerprint and the page where the amount is printed. Download the document and recompute its fingerprint (for example on the Verify page): it must be identical.
- Read each amount on the stated page, then redo the four ratios with the formulas and thresholds on this page.
- The proof hash summarises the inputs of the calculation: if a single amount changes, it changes.
- If your result differs, report a correction with the document and the page.
An amount missing from a document stays unknown: it is never replaced by zero, and the ratio that depends on it stays empty.
Join the verifiers (shurā)
Shurā, consultation, is an old principle: decisions that concern everyone are better examined by many. SYZNN invites anyone who wishes to verify the results with us, as a volunteer.
- Accountants and financial analysts: re-read the amounts in the financial statements.
- Scholars and students of Islamic jurisprudence: examine the method and the classification of activities.
- People who know the market: report a corporate action, a change of business, a missing filing.
The ratios and their thresholds
Three balance-sheet ratios are divided by the trailing 12-month average market capitalisation; the fourth divides impermissible income by total revenue.
| Ratio | Computation | Maximum | Borderline band |
|---|---|---|---|
| Debt R_DEBT | interest-bearing debt ÷ 12-month average market capitalisation | ≤ 30% | 27–30% |
| Cash and interest-bearing securities R_CASH | (cash + interest-bearing securities) ÷ 12-month average market capitalisation | ≤ 30% | 27–30% |
| Receivables R_RECV | trade receivables ÷ 12-month average market capitalisation | ≤ 30% | 27–30% |
| Impermissible income R_IMPERM | impermissible income (interest income included) ÷ total revenue | ≤ 5% | 2–5% |
A ratio passes when its value, rounded to six decimals, is at or below the maximum. It is borderline when it passes and lies within 3 points of the maximum (inclusive).
The four statuses
A status describes the result of a computed screen on dated data. It is not a religious ruling.
| Code | Label shown | What it means |
|---|---|---|
| COMPLIANT | Meets the screening criteria | Business activity passes on cited evidence, every ratio is at or below its maximum and outside the borderline band, and the promotion rule is met. |
| NON_COMPLIANT | Does not meet the screening criteria | An excluded activity on cited evidence (tier 0), or a computed ratio above its maximum. |
| BORDERLINE | Near a screening threshold | Every ratio passes, but at least one lies within 3 points of its maximum. |
| UNSCREENABLE | Insufficient data for screening | Data is missing, the identity is not proven, the activity is ambiguous or the statements are too old. It is not a negative finding. A company without a published result is shown as “not yet assessed”, with the reason. |
A status will always be dated and scoped to the standard: “As of [date], [issuer] meets / does not meet / narrowly meets the screening criteria, or cannot be assessed, under SYZNN Shariah Standard v1 (mechanical calculation, not verified by the institution).”
The rules
Fail-closed: doubt never yields a favourable status
Missing data means “cannot be assessed”, never “meets the screening criteria”. A line absent from a statement is missing, not zero: an amount counts as zero only when the statement or its notes show it as nil. Statements 365 days or more past their period end also give “cannot be assessed”.
Asymmetric transitions
- A downgrade is immediate, at any screening event: a new filing, a month-end update, a corporate action, a restatement.
- An upgrade to “meets the screening criteria” needs passing results at 2 consecutive reporting periods. Moroccan issuers mostly report semi-annually, so this takes 6 to 12 months; month-end updates never count toward an upgrade.
- Leaving “cannot be assessed” gives only the status the rule allows, never an unearned “meets”.
- During a restatement, the prior result is frozen and marked as under review.
Purification
For a company that meets the screen or is near a threshold, SYZNN will show the share of impermissible income in total revenue (impermissible income ÷ total revenue × 100). It indicates the portion of income some investors choose to give away. It is information, not a religious instruction; scholars differ on its scope and method.
Business activity: tiers for Morocco
Each company is placed in a tier on the strength of a cited document. No company is placed today.
| Tier | Effect | Activities |
|---|---|---|
| 0 · absolute exclusion | Does not meet the screening criteria, without ratios | conventional banking; conventional insurance and reinsurance; conventional leasing (crédit-bail); consumer and other interest-based credit; alcohol as primary activity; gambling; tobacco; pork; adult entertainment; weapons of mass destruction |
| 1 · conditional | A revenue breakdown is required; without it, cannot be assessed | hotels and leisure serving alcohol; retail selling alcohol or tobacco; brokerage of conventional insurance; payment and transfer firms earning interest on float; media and advertising |
| 2 · ambiguous | Cannot be assessed until segments are evidenced | holdings with opaque or mixed portfolios; real-estate companies whose tenant mix matters; recent mergers or demergers |
| 3 · data insufficient | Cannot be assessed | no statements in the window; listed for less than one reporting period; suspended; ticker not proven |
| P · participative bank or takaful | Cannot be assessed: the standard provides for a human review in place of the ratios, and no reviewer exists; never “meets” by calculation alone | participative banks (law 103-12); takaful operators |
An exchange sector label alone never yields an exclusion. A conventional parent with a participative or takaful subsidiary or window stays in tier 0. A holding is screened on its consolidated statements. A state shareholder changes nothing.
The denominator: SYZNN’s own receipted closes
12-month average market capitalisation = (1/12) × Σ (shares outstanding × close) over the 12 latest month-ends, in MAD
Each month-end close is the close in the last session of the month whose qualification is PASS, in the official bulletins SYZNN has received; each close resolves to its bulletin’s SHA-256 fingerprint. A session that is not PASS is never used.
Shares outstanding come from the latest AMMC filing, carried forward through recorded corporate actions and cross-checked against the share capital printed in the same bulletin; a gap above 0.5% lowers coverage and opens a review.
Twelve month-ends are required; with fewer, the denominator is missing and the company cannot be assessed. On 30 October 2026, SYZNN held 10 receipted month-ends (December 2025 to September 2026).
IFRS and CGNC line mapping (summary)
Moroccan issuers file PDFs with the AMMC, without XBRL tags. Each field is read with its page and line anchor.
| Component | Consolidated IFRS (typical French captions) | Individual accounts (CGNC) |
|---|---|---|
| Interest-bearing debt | current and non-current borrowings, bank overdrafts, bonds, commercial paper, IFRS 16 lease liabilities | “Dettes de financement”, “Trésorerie – passif”, crédit-bail commitments (ETIC) |
| Cash and interest-bearing securities | “Trésorerie et équivalents de trésorerie”, short-term investments at their full balance | “Trésorerie – actif”, “Titres et valeurs de placement” |
| Receivables | “Clients et comptes rattachés” (net) | “Clients et comptes rattachés” |
| Impermissible income | interest income (finance-income note), impermissible segment revenue (IFRS 8) | “Intérêts et autres produits financiers” (CPC), turnover breakdown |
| Total revenue | “Chiffre d’affaires” / “Produits des activités ordinaires” | “Chiffre d’affaires” |
| Shares outstanding | share-capital note of the latest AMMC filing, cross-checked against the bulletin | the same |
Order: consolidated IFRS first; individual accounts only when no consolidated statements exist, with partial coverage; quarterly indicators never feed a ratio. Primary line, then fallback (partial coverage), then missing: one missing component leaves the ratio empty. A field read by OCR counts only after human verification. Sukuk and participative financing are excluded only when the notes identify them. These captions are typical labels, to be checked against real filings.
Known differences
How v1 differs from SYZNN’s legacy basis (total assets, 33/33/50/5, now superseded) and from common index methodologies.
| Topic | SYZNN v1 | Legacy basis (total assets) | Common indices (our reading) |
|---|---|---|---|
| Denominator | 12-month average market capitalisation | total assets | average market capitalisation over 24 or 36 months, or total assets, depending on the provider (to be verified) |
| Debt | ≤ 30% | ≤ 33% | ≤ 33% to 33.33% (to be verified) |
| Cash and interest-bearing securities | ≤ 30%, all cash | ≤ 33%, remunerated cash only | ≤ 33% to 33.33%; sometimes combined with receivables (to be verified) |
| Receivables | ≤ 30% | ≤ 50% | ≤ 33.33% to 49%; sometimes combined with cash (to be verified) |
| Impermissible income | ≤ 5% | ≤ 5% | ≤ 5% (to be verified) |
| Lease liabilities | all IFRS 16 lease liabilities, shown separately | excluded | varies (to be verified) |
| Borderline band and transitions | 3 points; downgrade immediate, upgrade after 2 periods | none | varies (to be verified) |
The last column is our reading of the providers’ public methodologies; it must be verified against each provider’s current document before any other use.
Progress
Phases of the work order. Only S0 is done; the others are planned, in this order, with no date promised.
- S0Recover and reconcilemethodology decided; legacy records inventoried, none published or reused; old interface reviewed
- S1Financial statements as evidencePlannedAMMC filings archived and fingerprinted, fields extracted with their anchors, tie-outs
- S2Business-activity screen with cited sourcesPlannedevery tier assigned on a document
- S3Ratio enginePlannedratios in MAD, statuses, coverage, purification, proof hash, append-only results
- S4Mechanical release, corrections and community verificationPlannedrelease of only those results in which every amount resolves to a document and a page; a corrections channel open to everyone, issuers included; volunteer verifiers (shurā)
- S5Status cardsPlanneddated statuses on issuer pages and here, each with its documents, amounts and proof hash
Disclaimer
Frequently asked questions
Why can’t I see a company’s result yet?
Because a result is published only when every amount it uses resolves to an official document, identified by its SHA-256 fingerprint, and to a page, with a proof hash. Until the engine has produced such a result for a company, its page shows “not yet assessed”, with the reason. SYZNN does not publish a label it cannot trace to documents.
Is this a fatwa or a religious ruling?
No. It is a mechanical calculation under a published methodology. It is not a religious ruling, and SYZNN is not affiliated with AAOIFI, any index provider, the Bourse de Casablanca or the AMMC. Scholars hold legitimate differences of opinion; consult a qualified scholar for a personal ruling.
Who verifies the results?
Not the institution: the results are calculated mechanically, and no named reviewer or board signs them. That is why each result shows its documents, pages, amounts and proof hash. You can redo it; in the spirit of shurā, volunteer verifiers can join us to verify together.
Why market capitalisation and not total assets?
Total assets was the basis of a legacy SYZNN method (33/33/50/5), now superseded. The adopted standard divides by the 12-month average market capitalisation, with 30/30/30/5, as AAOIFI’s standard does as applied by SYZYG. It is the more conservative of the two on thresholds, and it is computed from the closes SYZNN has received.
How do I report an error or correct a figure?
Through the corrections form: the company, the field or ratio at issue, the value you believe is right, and the evidence (the document’s address and page, and its fingerprint if you have it). The channel is open to everyone at any time, issuers included; only a document changes a result.
Does SYZNN track who visits this page?
No. This page and the issuer-page chips record no per-visitor event and use no audience tool. Interest in Shariah screening can reveal religious convictions, which the law treats as sensitive data.
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