The Securities and Exchange Commission ordered robo-advisor Wahed Invest to pay a penalty of $300,000 for allegedly making misleading statements and for alleged compliance failures related to its Shariah advisory business. A spokesman for the robo-advisor was unavailable for immediate comment. Founded in 2015, Wahed provides automated investing and other services to clients, including to those seeking to align their investing strategy with principles of Islamic law. The firm managed approximately $147 million as of March 15, 2021, according to regulatory filings. “Robo-advisors, like other advisors, must ensure that their marketing materials are not misleading and that conflicts are disclosed to investors,” Adam Aderton, co-chief of the SEC Enforcement Division’s asset management unit, said in a statement.
Back to top