DWS has launched a new sustainable mutual fund focusing on investment grade corporate bonds from the Eurozone.

The DWS Invest ESG Euro Corporate Bonds fund managed by Karsten Rosenkilde applies market exclusions for controversial sectors and for companies that violate the United Nations Global Compact. It uses best-in-class approach uses a variety of ESG indicators but has an explicit focus on reducing CO2 emissions.

DWS says the application of the sustainable minimum standards of DWS limits the pool of available securities by almost 20 percent in comparison to the traditional variant, the EUR 2 billion DWS Euro Corporate Bonds.