Neuberger Berman announced today that it has partnered with to reframe its global high yield fund as the Neuberger Berman Global High Yield SDG Engagement Fund. The fund will seek to generate competitive yield and total returns, with the primary aim of engaging with to support the achievement of the UN Sustainable Development Goals (SDGs).
The fund will be available exclusively to UBS clients in select markets for six months, and will be open to all eligible global investors outside of the U.S. after. According to Jose Cosio, Head of Global Intermediary (ex US) at Neuberger Berman, UBS and Neuberger co-innovated the revised strategy over the past few months.
“Investors prefer not to give up yield or total return but still want to drive forward their sustainable objectives within their portfolios. We believe that Neuberger Berman Global High Yield SDG Engagement Fund is going to be the best mix of the two.”
The UN SDGs refer to the 17 categories of goals adopted as part of the 2030 Agenda for Sustainable Development, with the aim to protect the planet and improve the quality of life globally. SDG targets include ending poverty and hunger, improving education, and protecting the environment.
Under its revised investment approach, the fund will engage with 100% of issuers on the UN SDGs, aiming for positive outcomes on the environment and society. The fund will also provide regular reporting on its engagement activities, including case studies and environmental and social key performance indicators.
Bruno Marxer, Head Global Investment Management at UBS Global Wealth Management, said:
“The collaborative effort behind this new launch speaks to our ambition to provide our clients with exclusive access to solutions from leading partners, in this case enabling them to position for current market trends while helping to drive positive social and environmental change.”
Portfolio managers for the fund include Chris Kocinski, Joseph Lind, Jennifer Gorgoll and Simon Matthews, supported by 37 dedicated non-investment grade analysts and a 14-member ESG team.
“For us, delivering yield and solid returns whilst working with and investing in companies aiming to end poverty, improve health and education, reduce inequality, tackle climate change and spur economic growth are not mutually exclusive.”