AXA Investment Managers has launched the AXA ACT People & Planet Equity fund, an unconstrained multi-cap global equity portfolio.
The fund aims to generate financial returns by investing in companies making measurable, positive contributions towards environmental and social progress, embodied in the United Nations Sustainable Development Goals (UN SDGs).
The UK-domiciled fund is an official reshaping and rebrand of the AXA Framlington Emerging Markets fund, effective as of 6 April 2023. It is co-managed by three AXA IM Equity fund managers – Anne Tolmunen (who manages the AXA WF ACT Social Progress fund), Tom Atkinson and Ashley Keet (who co-manage the AXA WF ACT Clean Economy and AXA WF ACT Biodiversity funds).
The investment company said the strategy invests in companies that support three underlying sustainable growth themes that align with the UN SDGs:
Social Progress: Improving access to essential services thereby increasing inclusion of underserved populations. Empowering people through education and supporting small businesses, enabling people to take care of their health, wellbeing and physical safety.
Energy Transition: Investing in solutions which support the energy transition; renewable energy, digitalising electricity networks energy efficiency. Investing in the low carbon transport value chain across car makers, battery producers & enablers.
Biodiversity: Facilitating recycling and contributing to a circular economy. Investing into agritech and food innovations, sustainable materials and water treatment and management solutions.
Commenting on the launch, Anne Tolmunen, co-manager of the AXA ACT People & Planet Equity fund, said: “We have launched this fund because we fundamentally believe that companies that make positive contributions to preserving the natural environment and improving people’s lives may achieve strong earnings growth and shareholder returns over the long term.”
Engagement is a crucial part of the investment process. AXA IM empasises direct dialogue with companies on sustainability and governance issues that have a material impact on long-term financial performance.
The fund forms part of AXA IM’s ACT range. It combines external SDG data with AXA’s own qualitative research to assess company contributions across sixteen UN SDGs.
