Aberdeen Standard Investments (ASI) announced today the launch of the Multi-Asset Climate Solutions (MACS) Fund in partnership with social enterprise platform The Big Issue Group (TBIG).
According to ASI, the new fund is designed for those who want to invest in companies whose products and services play a decisive role in mitigating climate change and building a more sustainable future, through investments in renewable energy, electric vehicles, smart working, energy efficient buildings and other green technologies. MACS will have no exposure to fossil fuel producers or companies involved in a list of other controversial activities.
The Fund aims to generate growth over the long term by investing in a diversified portfolio of equities and corporate bonds issued by companies whose core business is to offer products and services that enable the transition to a sustainable low carbon economy. The fund will be managed by lead fund manager, Craig Mackenzie, Head of Strategic Asset Allocation, as well as Chris Paine, Investment Manager, and Fiona Ritchie, ESG Investment Manager, Multi-Asset Solutions.
“We have searched the globe to find companies whose products drive the shift to a zero-carbon green economy. Renewable energy, electric vehicles and other green technologies are likely to expand rapidly in the coming decades, offering a strong growth opportunity. Our multi-asset approach diversifies risk across asset classes, allowing our customers to put their money to work financing the climate transition with less volatile investment returns.”
The Big Issue is a social enterprise which exists to dismantle poverty by creating opportunities, through self-help, social trading and business solutions. The group’s initiatives include a magazine offering employment opportunities to people in poverty, and direct investment into more than 350 social enterprises across the UK. ASI stated that it has committed to sharing 20% of the net revenue generated by the Fund to support TBIG’s social causes.
Nigel Kershaw OBE, Chair of The Big Issue Group, said:
“The Big Issue’s mission is to build a world that works for everyone, for now and for future generations. This Fund is a natural extension of our mission, given that the negative effects of climate change are likely to have a disproportionate impact on vulnerable people across the world. We are proud of our partnership with Aberdeen Standard Investments and are excited to bring such an innovative product to market.”
ASI announced that it has selected FTSE Russell as its climate solutions data provider, utilizing the Green Revenues 2.0 data model. FTSE Russell launched the new platform in September 2020, to measure the green revenue exposure of portfolio companies to comply with the incoming EU Taxonomy.
Arne Staal, Global Head of Research and Product Management, FTSE Russell, said:
“We are delighted that ASI has selected our Green Revenues 2.0 data for the launch of its innovative new Multi-Asset Climate Solutions fund. ASI has been early to recognise that green revenues data used to quantify a fund’s alignment to the green economy will be essential in complying with the incoming EU Taxonomy disclosure requirements for sustainable investment products by the end of 2021.”