Goldman Sachs Asset Management (GSAM) has launched the Global Environmental Transition Equity fund to invest across five themes for sustainability.
The Article 8 fund will focus on extraction, power generation, manufacturing, transportation, and consumption industries.
GSAM says it will look for companies that currently have a ‘heavy’ environmental footprint and are looking to improve by reducing their environmental impact, and will be available in the UK and markets across Europe.
The strategy will use internal tools to monitor the environmental impact and effort companies are putting into the energy transition, and will have ongoing stewardship to track progress.
Alexis Deladerrière, head of international developed market equities within the fundamental equity team at GSAM, said: “The companies that have a heavy environmental footprint today will play the biggest role in driving progress towards net zero and other environmental targets.
“We believe there are significant opportunities for investors to benefit from exposure to companies with strong value characteristics that are improving their sustainability profiles.
“The strategy is designed to provide investors with access to attractive opportunities within a broad investable universe that we believe are consistent with a Net Zero by 2050 investment portfolio. We believe the fund will be attractive for investors seeking a balanced approach to their sustainable equity allocations.”