How HASAN Venture Capital uses AI to build an ethically grounded investment future

HASAN Venture Capital has integrated AI across its investment processes to boost efficiency while maintaining its ethical investment principles. At the helm of this vision is Umar Munshi, Managing Partner at HASAN VC, who believes that AI is a technological advantage and a moral imperative in the evolving venture capital space.

The firm’s approach to due diligence exemplifies how AI can refine venture operations without compromising human insight. “AI is now embedded in our analyst processes to augment and empower our team to carry out faster and better evaluation of startups,” Munshi shares in an email interview with e27.

The firm has significantly enhanced its decision-making efficiency by integrating AI tools to collate and interpret data from various formats, including video interviews and documents. Yet, this acceleration in analysis is balanced by human judgment.

“We directly benefit from AI at low cost now, while simultaneously recognising the value of human input, perspective and intuition,” says Munshi. This hybrid model fosters an investment process that is “more intelligent, ethical, and geared toward long-term value.”

AI for portfolio empowerment

HASAN Venture Capital’s application of AI doesn’t stop at internal operations. As a venture capital firm with a strong focus on halal innovation, the firm actively helps its investee companies integrate AI in ways that align with their values.

“We promote a knowledge-sharing culture within our founders’ community,” explains Munshi. “We assist investees in strategic grants, global networks, and ecosystem bridges—specifically those aimed at scaling values-based AI-powered businesses.”

One striking example is Qara’a, an AI-powered Quran learning app within the HASAN VC portfolio. The platform personalises learning for over two million users worldwide using machine learning, while adhering to strict ethical guidelines.

“All content is reviewed by qualified scholars, ensuring integrity and trust,” Munshi notes. “This reflects our broader vision: technology should serve humanity, not exploit it.”

With AI now saturating startup narratives, distinguishing substance from spin has become crucial. “We have observed that some companies engage in AI-washing, marking exaggerations of their use of AI,” Munshi cautions. HASAN Venture Capital counters this by examining the tangible impact of AI implementations.

Their evaluation framework is rooted in the AAOIFI Shariah principles, guided by Islamic finance ethics. With Adl Advisory as their Shariah advisor, every potential investment undergoes rigorous screening of commercial, legal, and financial practices to ensure justice and participatory investment terms.

Beyond compliance, the firm prioritises startups with authentic market fit and a community-first ethos. “Our focus lies on businesses that operate within expanding markets and cater to underserved populations, including Muslim communities,” says Munshi. “Founders must show deep passion, strong values, and a commitment to solving real-world problems.”

A future of purposeful, AI-driven investing

Looking ahead, HASAN Venture Capital views AI as a catalyst for ethical transformation in venture capital. Munshi envisions a future where “AI offers new ways to measure impact, improve transparency, and scale values-driven innovation.” This aligns with a model that Munshi refers to as the “camel startup model”—emphasising resilience, capital efficiency, and sustainable growth over rapid, risky expansion.

“We’re not interested in hype,” Munshi asserts. “We are actively supporting AI ventures that align with Shariah principles and embody the camel ethos: companies built to endure, deliver consistent value, and grow responsibly.”

This long-term outlook, coupled with a principled investment framework, sets the firm apart in a crowded, sometimes ethically ambiguous, venture landscape. “At HASAN.VC, we prioritise long-term value over short-term trends, challenging the conventional VC mindset that often favours quick gains and fast exits over real, enduring potential,” says Munshi.