Impax Asset Management has launched the Global Social Leaders Strategy.
The fund invests in businesses with strong corporate cultures that are responding to long-term, secular, social trends, including aging populations and rising income in emerging markets.
Currently available in the US, the strategy will be available in Europe once it is granted approval from the Central Bank of Ireland.
The firm said indicators of strong corporate culture include low employee turnover, gender-diverse leadership and inclusive business practices.
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The strategy is co-managed by deputy CIO Charles French and portfolio manager Amber Fairbanks.
Fairbanks said: “Although the market typically ignores culture for more easily understood metrics, strong culture can drive earnings growth through innovation, increased productivity, better relationships with suppliers and customers, and higher employee retention.
“Impax is exceptionally well positioned to launch this strategy given our history in quantifying behaviour to support alpha generation, and our focus on long-term secular trends underestimated by the market.”
