A magnetoresistive sensor having a hard magnetic pinning layer with an engineered magnetic anisotropy in a direction substantially perpendicular to the medium facing surface. The hard magnetic pinning layer may be constructed of CoPt, CoPtCr, or some other magnetic material and is deposited over an underlayer that has been ion beam etched. The ion beam etch has been performed at an angle with respect to normal in order to induce anisotropic roughness for example in form of oriented ripples or facets oriented along a direction parallel to the medium facing surface. The anisotropic roughness induces a strong uniaxial magnetic anisotropy substantially perpendicular to the medium facing surface in the hard magnetic pinning layer deposited there over.