Aberdeen Standard Investments has made its first foray into impact funds with a new strategy designed to prioritise ESG investing within a high conviction framework.
The Global Equity Impact fund, which was formally launched through Standard Life Investments, will be overseen by portfolio managers Sarah Norris and Dominic Byrne.
Impact investing is designed to target companies generating measurable positive social and environmental impact alongside financial returns. It comes as ESG analysis has become an integral tool for investment managers, the company added.
Standard Life Investments has used the 17 United Nation’s Sustainable Development Goals (SDGs) as a framework to develop its own impact process and analysis.
It helps ensure companies the fund invests in are truly having a positive impact in terms of the environment, society and clients. All 17 SDGs are incorporated into the fund and the UN’s associated targets inform the investment process.
SLI said the fund invests in companies whose activities, technologies or products are specifically designed to provide solutions in areas such as healthcare, education, poverty and many more.
The fund will have a high-conviction portfolio of 35-60 stocks. To ensure companies are making a genuine impact through the products they make or the services they provide, each company must intentionally direct its resources towards making a positive environmental or social contribution, must actively implement this strategy in its operations and the impact must be measurable.
The Luxembourg-domiciled fund is registered for sale in several European markets, including Austria, Finland, France, Germany, Luxembourg, Netherlands, Ireland, Spain, Sweden, Switzerland and the UK.