Fund Size: £456.00m

Total screened & themed / SRI assets: £594.00

Total Responsible Ownership assets: £25500.00

Total assets under management: £25500.00

As at: 31/12/22

Contact: ClimateAssetsFunds@quiltercheviot.com

Overview

Filters

Fund information

Policy

Quilter Cheviot’s investment process combines strong discipline with bespoke, flexible, asset allocation and stock selection. Our approach is a combination of ‘bottom-up’ and ‘top-down’ analysis. We are not constrained by one particular investment style (such as growth, value etc.) and believe the best returns come from a flexible approach during different economic cycles. We aim to reflect our views on asset class and geographical allocation through the portfolio and support these with conviction ideas within our five investment themes: Clean Energy, Food, Health, Resource and Water. To select our holdings, we use a combination of quantitative analysis, in-house fundamental research, brokers’ research notes and management meetings. An important tool for both stock selection and portfolio monitoring is the UN Sustainable Development Goal Framework.

We recognize that well managed companies are better placed to generate long term returns to clients. As such, we aim to identify, understand, and monitor the key environmental, social and governance (ESG) issues surrounding the companies, sectors, and regions in which we invest. We employ an independent specialist firm (Ethical Screening) to screen the securities researched by our analysts and advise which ones should be excluded, ensuring the exclusions are applied fairly and consistently. The Climate Assets Funds exclusions include fossil fuel exploration and production, tobacco, gambling, alcohol and factory farming.

The Fund will invest mainly in companies that provide solutions to the environmental and economic challenges of climate change, resource scarcity and population growth, and follow sustainability themes. The funds are actively managed and normally remain fully invested save for such operational liquidity as may be required from time to time. There will, however, be no restrictions on the underlying content of the investments held, in terms of investment type, geographical or economic sector, other than investment into other collective investment schemes, which will be restricted to 10% of the value of the Fund and those imposed by the Regulations. This means that the Investment Adviser has the absolute discretion to weight the portfolio towards any investment type or sector, including cash, at any time provided such investment is compatible with the investment objective and policy of the Fund as a whole.

Process

Resources, Affiliations & Corporate Strategies

Quilter Cheviot has a dedicated responsible investment team of 6 who design and implement our approach to incorporating ESG factors and active ownership into the investment process. 

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Our Sustainable Investment team of 8 manages the dedicated investment strategy which includes the Climate Assets Funds. The team includes one dedicated Sustainable Investment Specialist who is responsible for the team’s sustainable investment process including framework for utilising UN Sustainable Development Goal Analysis. Management of the Funds is supported by inputs from a number of data and research providers, further detail on our investment process can be found in our Climate Assets Sustainable Investment Report.

We are members either through Quilter plc, or in our own right of several formal or informal groups which may facilitate collaboration with other investors, including:

• The Investment Association
• Investor Group of the 30% Club
• UK Sustainable Investment and Financial Association - UKSIF
• The Institutional Investors Group on Climate Change (IIGCC)
• CDP
• FAIRR Initiative

Our approach to Stewardship:

Stewardship | Quilter Cheviot

Dialshifter

This fund is helping to ‘shift the dial from brown to green’ by…

.. only investing in companies that offer solutions to the global and emerging challenge of delivering ‘more with less’ for a rapidly growing population with a finite supply of resources and within a carbon constrained environment.

We have five positive investment themes at the heart of our stock selection process: Clean Energy, Food, Health, Resource Efficiency and Water. Through our unique investment philosophy we aim to improve our environment and make a positive impact on society.

Our organisation is helping to support the Paris Climate Agreement and the Race to Net Zero by…

…..following external best practice frameworks to shape our strategy including the Science Based Targets initiative (SBTi) financial sector target-setting guidance and the Investor Agenda.

We incorporate Environmental, Social and Governance (ESG) factors, including those relating to climate change, into our investment decision making processes and stewardship activities across the organisation.

We also continue to dedicate resource to reducing the impact on the climate from our business operations and value chain. Aligned with SBTi guidance, we have set a near-term target to reduce our Scope 1 and Scope 2 greenhouse gas emissions by 80% by 2030, from a 2020 baseline.

Literature

• Fund factsheet
• Fund overview
• Climate Assets Brochure
• Climate Assets Funds Annual Sustainable Investment Report 2022

Last amended: 30/11/23 08:04