Investment management firm Fidelity International announced the launch of two new SDG-focused fixed income funds, including Fidelity Funds 2 – Sustainable SocialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. Bond Fund, and Fidelity Funds 2 – Sustainable Global Corporate Bond Fund.
Each of the new funds are classified as Article 9 under the EU’s Sustainable Finance Disclosure Regulation (SFDR) indicating that they have sustainable investment as their objective, and will have 100% of fund investment invested in sustainable investments.
According to Fidelity International, the launch of the new funds comes amidst a $4 trillion annual funding gap towards the achievement of the UN Sustainable Development Goals (SDGs) – the 17 categories of goals adopted in 2015 as part of the 2030 Agenda for Sustainable Development, with the aim to protect the planet and improve the quality of life globally – presenting an opportunity for investors. The new funds also form part of Fidelity’s commitment to developing thematic fixed income investment solutions that address climate change, biodiversity, water, and socialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. issues, according to the firm.
The Fidelity Funds 2 – Sustainable SocialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. Bond Fund aims to invest in investments advancing positive socialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. objectives such as economic inclusion, good health and well-being, poverty reduction, basic infrastructure and access to essential services, including socialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. and sustainability bonds, as well as targeting issuers that provide products and services contributing to the SDGs.
The Fidelity Funds 2 – Sustainable Global Corporate Bond Fund aims to offer a more diversified approach relative to pure thematic funds, while also targeting investments aligned with one or more SDGs. Each of the funds will invest at least 70% of its assets in investment grade corporate debt securities from anywhere in the world.
The funds will both be managed by Kristian Atkinson, who will be lead manager of the Sustainable Global Corporate Bond Fund, and Shamil Gohil, who will be lead manager of the Sustainable SocialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. Bond Fund.
Christophe Gloser, Head of European Distribution, Fidelity International, said:
“We are pleased to be building on our sustainable fund range, with these latest launches part of our drive to provide clients with the ability to invest in Article 9 and SDG aligned strategies. These funds are a complementary solution to our sustainable global equity strategies, providing clients with a range of sustainable building blocks. In addition, it builds upon our progress in the growth of the climate bond strategy, which recently surpassed $320m in assets under management.”