M&G Investments has announced the launch of a equity climate solution fund.
The M&G Climate Solutions Fund, managed by Randeep Somel, is a portfolio of around 30 companies diversified in clean energy, green technology and the promotion of the circular economy. Each company’s net positive climate impact and revenue will be measured against the climate-related UN Sustainable Development Goals. Companies are assessed to be one of the following:
Pioneers – whose products or services have a transformational effect on society or the environment
Enablers – which provide the tools for others to deliver positive social or environmental impact
Leaders – which spearhead and mainstream impact and sustainability in their industries
The investible universe for the Fund is defined by M&G’s 10-strong Positive Impact team, led by Ben Constable-Maxwell, which reaches consensus on the impact of all potential investments by undertaking a three-point analysis covering the investment case, intentions and impact of each company. This framework is a practical means of scoring candidate companies and creating a watch-list of high quality, sustainable companies for the manager to choose from when the timing and opportunity are right.
Ben Constable-Maxwell, Head of Sustainable and Impact Investing, says: “As the world focuses on the scale of the sustainability challenges faced by our planet, positive impact finance has an opportunity to put financial firepower behind pioneering businesses providing solutions to those challenges. This Fund provides our customers with the opportunity to address the climate emergency while putting their savings to work with a purpose.”