Fidelity International has announced a suite of sustainable investment funds, saying the strategies could “enhance” investment returns.
The “Sustainable Family of Funds” will use environmental, social and governance (ESG) criteria and will initially consist of five funds once all are available from January next year.
Two investment strategies – best-in-class and sustainable thematics – are employed. Fidelity will attempt to achieve the sustainable objectives of the funds using engagement, exclusion and its own proprietary research including ESG ratings.
Jenn-Hui Tan, global head of stewardship and sustainable investing at the firm, said: “As responsible investors, we believe that by investing in companies which operate with high standards of sustainability we can protect and enhance investment returns for our clients.”
Thematic strategies, including a waste and water strategy that is already available, support sustainability challenges and investments making a positive impact on society or the environment.
Three best-in-class equity and fixed income funds will invest in companies that are high ESG performers relative to peers.
The funds have estimated ongoing charges of between 0.70% and 1.10% and are:
- FF – Sustainable Water & Waste Fund
- FF – Sustainable Global Equity Fund
- FF – Sustainable Eurozone Equity Fund
- FF – Sustainable Reduced Carbon Bond Fund
- FF – Sustainable Strategic Bond Fund
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