The "Tri-fold Smart Case (iPad Pro 10.5 2017 (1st Gen))" from Cover-Discount has a function that accommodates the Apple Pencil, but there is no specific cutout or loop to store the Pencil inside the case while the case is closed. However, the case does offer a stand function and a pencil holder, which indicates that the Pencil can be held in a certain position, but this is not within the closed case. Compared to the Dux Ducis Domo Series, which often have specific holders for the Apple Pencil, the Tri-fold Smart Case from Cover-Discount does not offer an integrated Pencil holder that allows the Pencil to be stored inside the closed case.