Legal & General Investment Management has announced the launch of its Sustainable DC Property Fund.
The fund will reshape an existing property portfolio to include responsible investing and ESG criteria including net zero operational carbon in the property portfolio by 2030. Valued at £238 million, the fund targets a 30 per cent allocation to the L&G Global Real Estate Equity Index Fund to provide liquidity and support daily dealing for DC clients.
Michael Barrie, Director of Fund Management for LGIM Real Assets says, “Real estate is central in the transition to net zero as buildings play a major role in supporting a low-carbon economy and society. The demand for real assets is growing, three quarters of our recent major investment consultant conversations in DC Distribution have emphasised demand for them. We believe that protecting and enhancing real assets against the effects of climate change will create long-term value and performance. We are adopting this positioning now to capture this performance and to help enhance the long-term financial value of real estate”.