Our Sustainable funds are designed to reward bond issuers that demonstrate sound Environmental, Social and Governance practices, while penalising those that don’t.
These funds deploy a negative screen that rules out all the sectors investors concerned with sustainability would expect – alcohol, tobacco, gambling and so on – but then crucially add a positive screen with a minimum threshold for our ESG score. Our research has shown that with this proprietary mix of positive and negative screens, which we have tailored to the specific challenges of sustainable investing in fixed income, our investors don’t need to sacrifice returns in order to pursue sustainable objectives.