New York-based Wahed plans to open a physical branch and bank accounts backed by gold.
The firm aims to attract 3.9 million Muslims in the U.K. with a Sharia-complaint investment management and advice service.
- The bank is located on Baker Street in central London and is backed by oil giant Saudi Aramco and French soccer player Paul Pogba.
- Wahed bank will also release a debit card that lets users deposit funds with an exchange-traded commodity that tracks the price of gold.
- This means consumers are paying for everyday goods with gold.
- The bank allows investors to redeem gold in their accounts for physical bars.
- Wahid means 'halal' investment platform aligned with Sharia law principles to gain the trust of people belonging to the Muslim faith.
- Sharia law forbids charging or earning interest on loans or investing in companies that make most of their money from selling things such as alcohol and gambling.
- Wahid makes money by charging wealth management fees, which charge users a percentage of their overall asset holdings.