Qatar investment bank QInvest is launching a Shariah-compliant European equities fund in partnership with asset manager Pioneer Investments which will manage the fund and act as sub-advisor.

The fund will focus on investing in pan-European blue-chip, mid and large-cap stocks. It will be actively managed by the specialist European equity team at Pioneer Investments, with Andrew Arbuthnott as the portfolio manager. The team has been managing European equity assets for 15 years based on a consistently applied research-driven philosophy and process.

The fund's investment strategy will be similar to the Pioneer European Concentrated Equity Strategy, which currently has in the region of US$1.3 billion under management and has been managed by Andrew Arbuthnott since 2001.

Ataf Ahmed, head of asset management at QInvest, said, "The launch of this fund broadens our offering to clients, providing access to a portfolio with dedicated pan-European exposure. We believe that the current macroeconomic environment in Europe, characterized by a weak euro, low oil prices and the likely onset of quantitative easing by the ECB, will be positive for European businesses and create some compelling investment opportunities over the mid-term."

Neal Jenkins, head of the Middle East, Central Asia and Africa region at Pioneer Investments, commented, "Around the world, there is a growing demand for Shariah-compliant European-focused products. This is being driven by not just Islamic investors looking to increase their exposure to European stocks, but also by conventional investors looking to diversify their portfolios, many of whom are being drawn to the more ethical investing principles of Islamic finance."