BlackRock launches impact equity fund

BlackRock has rolled out a new impact equity offering targeting the social and environmental investment market.

BlackRock launches impact equity fund

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The BlackRock Strategic Funds Impact World Equity Fund is a liquid UCITS vehicle that aims to achieve desirable social and environmental outcomes while generating returns.

According to BlackRock, sustainable and impact investing strategies are attracting a significant amount of interest. The Global Sustainable Investment Association reported that sustainable investment assets have expanded 61% between 2012 and 2014.

The fund is run by BlackRock’s Scientific Active Equity team. SAE will score more than 8000 companies daily across three ‘societal impact outcome areas’ of health, the environment, and corporate citizenship. The fund screens certain companies or industries, including alcohol, tobacco, and weapons manufacturers.

“Demographic shifts, stakeholder advocacy, and government regulation are combining to create unprecedented demand for sustainable and impact investment solutions,” said Deborah Winshel, global head of impact investing at BlackRock. “Impact investing enables investors to do more with their money than simply achieving a financial return. Through transparent measurement and outcome reporting, impact investing allows investors to better understand how their money is being put to work.”