Asset manager Schroders has launched two global equity funds aiming to “help navigate sustainability challenges facing the planet” as a part of its Global Transformation Range of funds.
One of the funds – Schroder ISF Circular Economy- will focus on global investments in companies contributing to the transition to a circular economy. This approach aims to disconnect economic growth from resource consumption, addressing resource deficits and sustainability concerns.
Jack Dempsey, the fund’s manager, said: “Companies could reap an estimated $25 trillion in rewards by 2050, with entire industries poised for transformation.” Dempsey cited that clothing resales are estimated to outgrow fast fashion by 2029, and increased consumer and regulatory focus on plastics opens opportunities for more sustainable materials.
The fund will help investors tap into a growing market for sustainable products and services while contributing to a more resilient and resource-efficient economy, he added.
Managed by Ashley Thomas, the other fund – Schroder ISF Sustainable Infrastructure – will invest globally in companies that drive the development of sustainable global infrastructure assets, including energy utilities, renewable energy, water and waste utilities and rail and communications infrastructure.
The fund’s investments will support UN Sustainable Development Goals, including affordable and clean energy, water and sanitation while contributing to climate change mitigation and adaptation.
Thomas said: “The fund is focused on environmental improvement while allowing investors to benefit from the long-term growth potential inherent in this exciting investment theme.”
Both are Article 9 funds under the EU’s Sustainable Finance Disclosure Regulation.
© 2023 funds europe
