On this World Environment Day and in an effort to help raise awareness of the environment and climate issues, Candriam has launched SRI Equity Climate Action, an impact fund investing in global companies providing long term climate change solutions.
Candriam SRI Equity Climate Action fund combines sustainability and thematic investing, two of Candriam's key areas of expertise. It is one of the first actively managed carbon neutral funds globally and the first carbon neutral fund in Candriam's range.
The new strategy adds to Candriam's expertise in thematics, with existing biotech, robotics, demographic and oncology strategies representing over €3bn in assets under management. The fund aims to identify the structural winners in climate change solutions. A bottom-up selection looks at those companies providing prime solutions in energy efficiency, renewable energy and storage, recycling, waste and water management.
The close cooperation and synergies between the different teams (fundamental analysis, ESG analysis), in addition to the backing of a climate change advisory board, allows for an integrated and disciplined analytical approach and a concentrated portfolio, driven by strong convictions. The fund will also offer full transparency through specific Climate Change impact indicators.
Candriam provides a zero net carbon emission strategy by offsetting the CO2 emissions of the fund via carbon credits linked to green projects, thus enabling investors to compensate the carbon impact of their investments. The project types are in accordance with standards set by the World Bank and target renewable energy (e.g. wind, hydro, biomass), energy efficiency (e.g. fuel switching) and reforestation.
Koen Popleu, lead portfolio manager of the fund said: "Climate change is an unprecedented challenge, but also a multi-decade investment opportunity. Investors can join corporates in their response to the environmental challenges by identifying the future leaders of climate change action. Our diversified quality growth portfolio aims to significantly outperform over an economic cycle."
This fund is a sub-fund of Candriam SRI, a SICAV (Société d'investissement à capital variable) domiciled in Luxemburg and it is managed by Candriam Luxembourg. Candriam SRI Equity Climate Action is currently registered for marketing in Luxembourg, Austria, Germany, Spain, France, the United Kingdom, Italy and the Netherlands.