Shariah Compliant Pensions

Salaam All,

I received the following letter from my pension provider Aegon . To summarise they are saying that despite me invested into the HSBC Life Islamic Global Equity fund , some of the money is held in a cash out earning interest for the sake of paying fees on the account.

I wanted to ask , since I’m sure this affects most people who have their pensions invested in to Islamic funds. Does this mean that our pension money is not Shariah Compliant , or since the interest is only on cash for fees it is permissible.

I wanted to gain some more understanding before considering next steps.


I am in a similar position and would be grateful for your views @Mufti_Billal @Mufti_Faraz_Adam

JazakAllah khayr