Morgan Stanley Investment Management has launched the Global Balanced Sustainable Fund.
Led by Andrew Harmstone, head of the Global Balanced Risk Control strategy, the fund will allocate to global equity and fixed income securities, including impact equities and green bonds, as well as money market instruments and cash. MSIM says the fund tilts its equity exposures towards holdings that support the transition to a net-zero carbon economy, in line with the Paris-aligned target.
As part of its ESG mandate, the portfolio team will also engage with selected companies through dialogue and proxy voting, to enhance the impact made by portfolio companies. It is expected that 5 per cent to 30 per cent of assets will be invested with managers who explicitly aim for positive environmental and social outcomes.