Aberdeen Standard Investments launches new responsible investment fund
Aberdeen Standard Investments (ASI) has launched a new fund which seeks to generate strong long-term performance by allocating capital to companies which demonstrate strong management of their environmental, social and governance (ESG) risks and opportunities.
The Aberdeen Standard SICAV I - Global Corporate Bond Sustainable and Responsible Investment Fund will be managed by ASI’s global investment grade portfolio management team.
The fund’s investment objective is long-term total return to be achieved by investing primarily in investment grade debt and debt-related securities issued by corporations worldwide. The Fund will use ASI’s well established active management approach of security selection tailored to the overall environment, which combines fundamental and ESG considerations into individual name, sector and top down portfolio construction decisions.
The Fund will:
- Exclude companies identified as not having sustainable business practices. This is achieved through a set of ‘Binary’ exclusions, which identify controversial business activities and ‘Active’ exclusions, which identify companies rated poorly based on their management of ESG risks within their business.
- Engage with companies to gather a forward looking insight into management of ESG risks, opportunities and actively influence the management of these factors in line with best practice standards.
- Target a carbon footprint that is lower than the benchmark.
Samantha Lamb, head of ESG fixed income and global investment grade portfolio manager, ASI, said: “The goal of this new Fund is to make a positive difference – for our clients, society and the wider world. It’s about investing in companies doing the right things to create portfolios that will help our clients achieve their long-term financial goals. The Fund supports making fully-informed decision, delivering positive change and in turn, driving higher standards and stronger returns.”