UK bank Gatehouse and Columbia Threadneedle Investments have launched the Threadneedle (Lux) – Gatehouse Shariah Global Equity Fund, after it obtained regulatory approval from Luxembourg and Britain’s financial regulators.
The fund consists of an actively managed equity portfolio investing in between 50 and 80 shariah compliant stocks
that are in line with the Shariah guidelines as determined by the shariah supervisory board and Gatehouse as the shariah compliance advisor.
Gatehouse will advise the fund and monitor its activities with regard to its adherence to the shariah guidelines.
The strategy managed by Simon Haines aims to outperform its benchmark, the MSCI Islamic M-Series index, by 2% per annum over rolling 3 year periods.
Columbia Threadneedle has appointed data researcher IdealRatings as shariah stock screening provider to the fund.
Fahed Boodai, chairman of Gatehouse Financial Group, commented: “We are excited to launch the shariah-compliant global equity fund alongside Columbia Threadneedle, our first true partnership with the asset manager since they acquired a minority shareholding in Gatehouse in 2015.
“The new fund addresses the growing demand from investors seeking greater portfolio diversification, whilst adhering to Shariah-compliant investment principles. We look forward to working closely with Simon and his team at Columbia Threadneedle and building on our existing relationship.”
Simon Haines, global equities manager at Columbia Threadneedle Investments and manager of the fund said: “Integral to what defines quality in the context of the Shariah fund is our belief that well governed companies are better positioned to manage risks and challenges inherent in business and to capture opportunities that should deliver sustainable growth and returns over time.
“Effective stewardship benefits companies, our clients and the economy as a whole. We look forward to working with Gatehouse to select best in class ideas for the portfolio according to Shariah principles in the best interest of our clients.”