Is Morgan Stanley Direct Lending Fund (MSDL) halal? Not Halal. Based on AAOIFI screening, Morgan Stanley Direct Lending Fund passes the business activity screen but fails financial ratio screens with a compliance score of 0/100 (Grade: F).

Morgan Stanley Direct Lending Fund

MSDL: Is Morgan Stanley Direct Lending Fund Halal?

Not Halal

Morgan Stanley Direct Lending Fund

NYSEFinancial ServicesUS

$15.59

+0.13%

About Morgan Stanley Direct Lending Fund

Morgan Stanley Direct Lending Fund is a business development and finance company, which engages in lending to middle-market companies. It invests in directly originated senior secured term loans including first lien senior secured term loans and second lien senior secured term loans. The company was founded on May 30, 2019 and is headquartered in New York, NY.

Sector: Financial Services 路 Industry: Financial - Conglomerates

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 11, 2026
F

Non-Compliant

Fails Shariah screening

0Score

Business Activity Screen

Passed

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

Financial Ratio Screen

Failed

Financial ratios must be below AAOIFI thresholds

Debt / Market Cap159.4% / 30.0%

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.

Screened: Jun 11, 2026Fiscal: FY 2025Source: FMP

Financial Overview

Market Cap

1.3B

Price

$15.59

Sector

Financial Services

Industry

Financial - Conglomerates

Halal Alternatives in Financial Services

This stock is not Shariah-compliant. Here are halal alternatives from the same sector, ranked by compliance score:

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Frequently Asked Questions

Is Morgan Stanley Direct Lending Fund (MSDL) halal to invest in?
Morgan Stanley Direct Lending Fund (MSDL) 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 Morgan Stanley Direct Lending Fund get a F compliance rating?
Morgan Stanley Direct Lending Fund (MSDL) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 159.4% (limit 30%); interest-bearing deposits of 6.2% (limit 30%); prohibited income of 96.08% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Morgan Stanley Direct Lending Fund's Shariah verdict?
Morgan Stanley Direct Lending Fund'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 Morgan Stanley Direct Lending Fund re-screened for Shariah compliance?
Morgan Stanley Direct Lending Fund (MSDL) 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: Jun 11, 2026.

Screened according to AAOIFI Standard No. 21 路 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.