Mena-based managers are set to win mandates for a new suite of UK-based Shariah-compliant pension products, Mena FM has learned.

UK pension provider Pointon York launched a range of Islamic Self-Invested Personal Pensions (SIPPs) earlier this year, with Montague Capital in charge of manager selection. Although the underlying managers have not yet been named, Anthony Corbett, portfolio manager at Montague Capital, confirmed that they will all be Mena-based managers.

“Our new SIPPs are Shariah-compliant at every point in the chain,” said Corbett. “That is why the new vehicles have taken such a long time to construct.”

Montague has designed five risk-based strategies for the fund, including a defensive, lower risk strategy and a cash and fixed income strategy. “We have blended a number of managers together, which is what makes the new strategy strong,” said Corbett.

Pointon York launched the scheme to meet growing demand from UK Muslims. Earlier this year, new UK pension fund NEST rolled out its own Shariah-compliant mandate investing solely in the HSBC Life Amanah Pension Fund, managed by HSBC GAM.