Strategy highlights

  • Sustainability assessments look beyond the financial statements, alongside fundamental bottom-up research and stock valuation analysis
  • Investing in companies that positively manage the material impacts of their operations and products on the environment and society
  • Actively omitting companies involved in areas of high social cost, environmental degradation or violation of the UN Global Compact Principles

Strategy profile

Objective

The strategy seeks to outperform the FTSE W Europe ex UK Index over rolling 5-year periods by achieving long-term capital growth from investment in European securities, excluding those in the UK that demonstrate attractive investment attributes and sustainable business practices.

Performance benchmark

FTSE World Europe ex UK

Typical number of equity holdings

30 to 50

Red lines

Our ‘red lines’ are built on a combination of exclusions that effectively avoid investments in security issuers involved in or that generate a material proportion of revenues from areas of activity that we deem to be harmful from a social and/or environmental perspective. Read more about our red lines.

Strategy inception

8 December 2021

Strategy available through pooled UK vehicle

BNY Mellon Sustainable European Opportunities Fund

View fund performance
View Key Investor Information Document
View prospectus
UK Inst Sustainable European Opportunities strategy factsheet

Strategy factsheet

Performance and commentary for the last quarter.


RI report Sustainable European Opportunities

Responsible investment report

Stewardship activities (voting and engagement) for the last quarter and ESG metrics.

Investment team

Our Sustainable European Opportunities strategy is managed by an experienced team. In-house research analysts are at the core of our investment process, and our multidimensional research platform spans fundamental, thematic, ESG, quantitative, geopolitical, investigative and private-market research to promote better-informed investment decisions

Want to find out more?

Nick Pope
Nick Pope

Portfolio manager, Sustainable Equity strategies

Julianne McHugh
Julianne McHugh

Head of sustainable equities

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Your capital may be at risk. The value of investments and the income from them can fall as well as rise and investors may not get back the original amount invested.

Newton will make investment decisions that are not based solely on ESG criteria. Other attributes of an investment may outweigh ESG analysis when making investment decisions. The way that ESG and sustainability criteria are assessed and the evaluation of their suitability for Newton’s sustainable strategies may vary depending on the asset class and strategy involved. For Newton’s sustainable strategies, ESG analysis is performed prior to investment for corporate investments (single name equity and fixed-income securities). The analysis will then also follow the Newton sustainable investment process to ensure it fits with the wider Newton sustainable investment philosophy.

Key investment risks

  • Objective/performance risk: There is no guarantee that the strategy will achieve its objectives.
  • Currency risk: This strategy invests in international markets which means it is exposed to changes in currency rates which could affect the value of the strategy.
  • Geographic concentration risk: The strategy primarily invests in a single market which may have a significant impact on the value of the strategy.
  • Derivatives risk: Derivatives are highly sensitive to changes in the value of the asset from which their value is derived. A small movement in the value of the underlying asset can cause a large movement in the value of the derivative. This can increase the sizes of losses and gains, causing the value of your investment to fluctuate. When using derivatives, the strategy can lose significantly more than the amount it has invested in derivatives.
  • Emerging markets risk: Emerging Markets have additional risks due to less-developed market practices.
  • Concentration risk: A fall in the value of a single investment may have a significant impact on the value of the strategy because it typically invests in a limited number of investments.
  • Sustainable strategies risk: The strategy follows a sustainable investment approach, which may cause it to perform differently from strategies that have a similar objective but which do not integrate sustainable investment criteria when selecting securities.
  • Counterparty risk: The insolvency of any institutions providing services such as custody of assets or acting as a counterparty to derivatives or other contractual arrangements, may expose the strategy to financial loss.