Aberdeen Standard Investments launches climate fund range



Aberdeen Standard Investments (ASI) has launched a range of climate funds aimed at supporting the shift towards net zero global emissions.

The ASI Climate Range funds all comply with the EU Sustainable Finance Disclosure Regulation (SFDR) article 9, with each focusing on specific aspects of the journey towards net zero.

The Aberdeen Standard SICAV I – Global Climate and Environment Equity Fund – invests in companies that will provide solutions to the most carbon intensive sectors of the economy, through a thematic framework combined with fundamental analysis.

The concentrated portfolio of companies reflecting the investment team’s highest conviction, both in terms of financial returns and climate impact. That team has a broad research base of more than 130 equity managers worldwide, who are actively engaging with company management on climate issues.

The Aberdeen Standard SICAV I – Climate Transition Bond Fund – invests in companies with credible and ambitious transition plans from high emission sectors and outstanding companies in other sectors.

It also invests in projects that tackle the physical impacts of climate change, as well as solutions providers who support other parts of the economy to decarbonise through their products or services.

The outcome is a portfolio of debt issuers, mitigating the causes and adapting society to the consequences of climate change.

It takes global unconstrained approach, which aims to to deliver a “compelling total return” and high income. Again, it is managed by an experienced global fixed income team of more than 130 people, actively managing more than €16bn in dedicated fixed income ESG assets.

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The Aberdeen Standard SICAV II – Multi-Asset Climate Opportunities Fund – invests in climate solutions such as clean energy, electric vehicles and smart working technologies by investing in equities, bonds and renewable infrastructure.

The diversified portfolio consists of equities and bonds issued by companies whose core business is to offer products and services that enable the transition to a sustainable low carbon economy.

Eva Cairns, head of climate change strategy at ASI, said: “Climate change is one of the largest threats of our time and impacts not only future generations, but also many countries and companies around the globe today.

“To have real world impact, we need to look to the future and invest in the solution providers and companies that will help make this transition to net zero happen.”

The ASI Climate Range will allocate a substantial share of capital to climate solutions – those which the EU Taxonomy on Sustainable Activities defines as ‘enabling the climate transition’. As a result, all three funds have high EU Taxonomy scores.

ASI’s climate scenario analysis tool, developed in collaboration with the Aberdeen Standard Research Institute, also facilitates identification of the companies that its teams believe will lead in this time of significant transformation.

Cairns continues: “Our approach to climate scenario analysis is motivated by the view that a rigorous, forward looking and transparent methodology is essential for embedding climate risks and opportunities into our investment decision making and delivering superior outcomes for our clients.

“We believe that our bespoke approach represents a significant advancement in the field of climate-scenario analysis, giving us greater confidence in the results and their applicability to real-world investing.”

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