Schroders has launched the Islamic Global Equity Fund, a diversified investment strategy which combines Shariah Law compliance with multi-factor investing.The fund employs an integrated, multi-factor investment approach, which seeks to outperform the Dow Jones Islamic Market World Index over a three to five year period, one of the most prominent Shariah-compliant global equity benchmarks.
The fund will be managed by the Schroders Systematic Investments (SSI) unit, which seeks to provide market-leading, factor-based investing to support our clients’ investment needs.
Doug Abbott, Head of UK Intermediary, Schroders, says: “Schroders is uniquely positioned to offer our clients access to a global investment universe comprising of over 2,600 stocks that have been rigorously screened to ensure adherence with Shariah Law.
“We worked closely with an external Shariah Advisor to develop this fund and it has also been certified by an independent external Shariah Supervisory Board.
“The fund maintains features such as dividend income purification, whereby any dividend income deemed non-Shariah compliant is donated to charity.
“We recognise that Shariah-compliant investors have been underserved by the market and we are delighted to leverage our long-standing investment expertise to address this gap.
“The launch of this fund is a great example of our ability to build solutions in response to demand from our clients and to increase the range of innovative investment products we offer to investors in the UK.”
Ashley Lester, Head of Schroders Systematic Investments and Lead Manager of the fund, says: “Multi-factor investing relies on scientific expertise, and therefore our mission for investors is to deliver an approach to factors that is scientific, forward-thinking and evolving as our knowledge progresses.
“I am confident that the SSI team’s extensive expertise in creating differentiated and diversified factor portfolios will help us unlock additional sources of return for investors looking for a Shariah-compliant fund solution.”