Newton Investment Management (IM) today unveils a new fund, the Newton Sustainable Global Equity Fund (Fund), for UK institutional and retail investors1, as well as charity clients.
The Fund is managed by Newton IM and belongs to the BNY Mellon Investment Funds range. It is part of Newton IM’s plans for a sustainable strategy range which builds on Newton’s multi-decade pedigree in responsible investing. This range includes a Sustainable Real Return strategy and a Sustainable Sterling Bond strategy, as well as a Sustainable US Equity strategy which was launched for US investors in May 2017.
The Newton Sustainable Global Equity Fund is managed by Terry Coles. It is a concentrated global portfolio of 50 stocks or fewer, invested in businesses with durable financial and competitive positions which positively manage the material impacts of their operations and products on the environment and society.
Every holding is subject to an ESG quality review, which applies the following policies as part of a robust stock selection process:
- Avoidance of companies with material and unresolvable ESG-related risks, which are likely to impact future performance
- Securities can be vetoed by Newton’s dedicated responsible investing team on ESG-based grounds, for example if they violate UN Global Compact Principles or are not compatible with a ‘2-degree’ world.
- No direct investment in any company deriving more than 10% of its turnover from the production and sale of tobacco
- Active exercise of voting rights and engagement plans for investee companies, as is the case across all Newton IM’s managed portfolios.
The Fund seeks to outperform the MSCI AC World (NDR) Index over a rolling five-year period.
Julian Lyne, Chief Commercial Officer at Newton IM, said:
This fund has been launched in response to increased client demand for sustainable investment products. Our latest annual charity survey, for example, revealed that over half of charities identify as ethical investors, and that ESG factors are considered by even more, and we see this as a growing trend for institutional clients around the world too.Julian Lyne, Chief Commercial Officer
Investors are increasingly recognising the importance of sustainable investing, not just for the positive impact it has on the environment and society, but also as a necessary consideration for positive long-term returns. Responsible investment has been core to our approach at Newton for 40 years, being grounded in our belief that responsibly managed companies are best placed to achieve a sustainable competitive advantage and strong long-term investment opportunities.
The Newton Sustainable Global Equity Fund is part of the BNY Mellon Investment Funds range. It is registered for distribution in the UK.
Notes to editors:
Newton Investment Management Ltd (NIM) is a London-based global investment management subsidiary of The Bank of New York Mellon Corporation. NIM and Newton Investment Management (North America) Limited (NIMNA) are authorised and regulated by the Financial Conduct Authority. Registered address, The Bank of New York Mellon Centre, 160 Queen Victoria Street, London, EC4V 4LA. Registered in England No. 01371973 (NIM) and No. 2675952 (NIMNA).
With assets under management of £53.8 billion ($72.8 billion) as at 31 December 2017, Newton’s group of affiliated companies provides investment products and services to a wide range of clients, including pension funds, charities, corporations and (via BNY Mellon) individuals. News and other information about Newton is available at www.newtonim.com and via Twitter: @NewtonIM.
BNY Mellon Investment Management is one of the world’s leading investment management organizations and one of the top U.S. wealth managers, with $1.9 trillion in assets under management2. It encompasses BNY Mellon’s affiliated investment management firms, wealth management services and global distribution companies. More information can be found at www.bnymellon.com.
BNY Mellon is a global investments company dedicated to helping its clients manage and service their financial assets throughout the investment lifecycle. Whether providing financial services for institutions, corporations or individual investors, BNY Mellon delivers informed investment management and investment services in 35 countries and more than 100 markets. As of Dec. 31, 2017, BNY Mellon had $33.3 trillion in assets under custody and/or administration, and $1.9 trillion in assets under management. BNY Mellon can act as a single point of contact for clients looking to create, trade, hold, manage, service, distribute or restructure investments. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Additional information is available on www.bnymellon.com. Follow us on Twitter @BNYMellon or visit our newsroom at www.bnymellon.com/newsroom for the latest company news.
All information sourced by BNY Mellon as of 23 January 2018. This press release is qualified for issuance in the UK and is for information purposes only. It does not constitute an offer or solicitation of securities or investment services or an endorsement thereof in any jurisdiction or in any circumstance in which such offer or solicitation is unlawful or not authorized. This press release is issued by BNY Mellon Investment Management EMEA Limited to members of the financial press and media and the information contained herein should not be construed as investment advice. The value of investments can fall. Investors may not get back the amount invested. Income from investments may vary and is not guaranteed. Investment Managers are appointed by BNY Mellon Investment Management EMEA Limited (BNYMIM EMEA) or affiliated fund operating companies to undertake portfolio management activities in relation to contracts for products and services entered into by clients with BNYMIM EMEA or the BNY Mellon funds. Registered office of BNY Mellon Investment Management EMEA Limited: BNY Mellon Centre, 160 Queen Victoria Street, London, EC4V 4LA. Registered in England no. 1118580. Authorized and regulated by the Financial Conduct Authority. A BNY Mellon Company.
1 Retail share classes are available upon request.
2 As of 31 December 2017.