AXA Investment Managers has adopted ‘Sustainabiltity Improver’ labels for the AXA Carbon Transition Global Short Duration and the AXA Carbon Transition Sterling Buy and Maintain Credit funds, under the FCA’s UK Sustainability Disclosure Requirements (SDR) regime.
The two carbon transition strategies will continue to pursue both financial and sustainability objectives, aiming to support the transition to a net zero carbon economy by 2050.
AXA says the funds are among the first fixed income products to adopt an SDR label, helping to provide end investors with the opportunity to align their fixed income investments with their sustainability goals.
AXA IM’s SDR-labelled range has so far c.£1.2 billion in assets invested across fixed income and equities, representing just under 15% of its UK domiciled fund range. These include four ‘Sustainability Improvers’ (two carbon transition fixed income strategies, and two sustainable equity strategies) and one ‘Sustainability Impact’ label (a people and planet equity strategy).
Jane Wadia, Head of Sustainability, Core Products & Clients at AXA IM said: “Bond investors are in a unique position to capitalise on the investment opportunities driven by the transition to a lower carbon economy and this has been proven by the success of our fixed income carbon transition strategies, and the demand we are seeing from UK-based clients.
“Our focus continues to be on empowering clients with a comprehensive suite of products. These range from, traditional investments that consider ESG factors as part of the investment process, to sustainability driven strategies, enabling them to align their portfolios with both financial objectives and sustainability priorities.
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