Invesco is relaunching its UK Companies Fund (UK) to become a sustainable fund.
The £158.31m core UK equity fund will continue to be managed by Tim Marshall under the existing objective of achieving long-term capital growth, but it will now focus on companies with “superior sustainable characteristics”, according to a press release.
Invesco said it would use what it calls a “3D” approach to sustainable investing, which takes into account environmental and social sustainability, financial and governance sustainability and valuation sustainability.
Invesco will not just focus on sustainability leaders but also companies that are improving their sustainability credentials. In a press release, the $1.6trn asset manager said some ESG ratings could be backwards looking so it would use proprietary research to examine ESG factors.
Marshall said in a statement: “In our view, the long-term investment opportunity in UK companies promoting sustainable themes is underestimated. We believe that putting sustainability front-and-centre, above all stylistic factors such as value and growth, will create attractive long-term return potential for clients. This is the hallmark of the fund.”
He will be supported by Invesco’s global ESG team of around 20 specialists.
