Could your halal pension be funding Israel’s military?

A financial investigation reveals that HSBC’s sharia-compliant investment fund has allocated significant capital—exceeding $100 million—into firms with ties to Israel’s military sector, raising ethical concerns over compliance with Islamic finance principles. The fund’s investments reportedly include companies involved in defense and security industries, prompting scrutiny over whether its screening processes adequately align with ethical and religious guidelines. Critics argue that such allocations contradict the prohibition on financing arms production under sharia law, while supporters may highlight broader interpretations of permissible investments. The case underscores growing debates over the intersection of finance, ethics, and geopolitical sensitivities in global markets.

HSBC’s ‘sharia-compliant’ fund invested over $100 million in companies linked to Israel’s military.