M&G Investments has launched the M&G (Lux) Global Themes fund as the Luxembourg Sicav.
The new fund follows the same investment strategy as the existing M&G Global Themes fund (OEIC) domiciled in the United Kingdom. Alex Araujo, fund manager, will manage the new strategy.
The strategy invests in four structural trends: demographics, environment, innovation and infrastructure. ESG criteria are integrated into the investment process. It aims to achieve a higher total return than the MSCI All Country World Index over any five-year period. Each of the four structural trends is made up of forward-looking sub-themes.
The topic of demography, for example, focuses on the topics of "Longer, healthier and smarter living" as well as the "city man of the 21st century". It focuses on companies that provide solutions for the aging population, and that address the changing preferences and needs of the modern consumer.
When it comes to innovation, Araujo focuses on cloud computing and networking, as well as transportation changes that are changing the way we drive alternative models.
Araujo commented: "The fund focuses on enduring issues and those companies that can best benefit from them. He has the flexibility to find the best opportunities worldwide. In a world of fleeting fads, it is imperative that we use a disciplined approach to thematic investing. With topics that are rooted in reality, we want to deliver excellent returns to our customers over the long term."
M&G (Lux) Global Themes fund brings this strategy in line with customers' preferences and needs: a global thematic fund that is now also available as a Luxembourg SICAV. It was launched on 19 March 2019 and currently has a volume of €153m (as of 31 March 2019).