How HSBC’s Sharia fund invested millions in Israeli war-linked firms
News Source
•Mon, 19 Oct 2026 17:14:41 +0000
📰 What Happened
HSBC's Islamic Global Equity Index Fund spent more than $130 million on shares in companies linked to Israel's military. The British bank is Europe's second largest. The fund is the biggest so-called Sharia-compliant fund in the UK.
The companies range from US tech firm Palantir to RTX, the world's second-largest arms maker. Some supplied parts used in weapons, or technology with military uses. The report was published during Israel's war in Gaza.
🔍 The Backstory
The fund holds more than $8 billion in assets. It puts savers' money into global shares that pass Islamic finance screens. Those screens are meant to block things like interest, gambling and weapons work.
Many Muslim investors say they chose the fund to avoid profiting from war. The report asks a hard question: can money sold as Sharia-compliant flow into firms tied to an army?
🎯 Why It Matters
People trust labels like "Sharia-compliant" when they invest. This case shows how hard it is to check where fund money really goes.
HSBC's Islamic Global Equity Index Fund spent more than $130 million on shares in companies linked to Israel's military. The British bank is Europe's second largest. The fund is the biggest so-called Sharia-compliant fund in the UK.
The companies range from US tech firm Palantir to RTX, the world's second-largest arms maker. Some supplied parts used in weapons, or technology with military uses. The report was published during Israel's war in Gaza.
The fund holds more than $8 billion in assets. It puts savers' money into global shares that pass Islamic finance screens. Those screens are meant to block things like interest, gambling and weapons work.
Many Muslim investors say they chose the fund to avoid profiting from war. The report asks a hard question: can money sold as Sharia-compliant flow into firms tied to an army?
People trust labels like "Sharia-compliant" when they invest. This case shows how hard it is to check where fund money really goes.