Nomura Funds Ireland plc – Global Sustainable High Yield Bond Fund
SRI Style:
Sustainability Tilt
SDR Labelling:
Not eligible to use label
Product:
SICAV/Offshore
Fund Region:
Global
Fund Asset Type:
Fixed Interest
Launch Date:
14/04/2014
Last Amended:
Aug 2024
Dialshifter (
):
Fund Size:
£56.90m
(as at: 31/03/2024)
Total Screened Themed SRI Assets:
£56.90m
Total Responsible Ownership Assets:
£27431.00m
Total Assets Under Management:
£27431.00m
ISIN:
IE000EJXOBC8, IE0006VZUPL1, IE00BYNJKH83, IE00BK0SCX03, IE00BYNJKC39, IE00BYNJKH83, IE00BD41S610, IE00BK0SCT66, IE00BYNJKD46
Contact Us:
Objectives:
The fund has sustainable investment as its investment objective and seeks to achieve current yield and capital gains, through investment in a diversified portfolio of primarily high yielding debt securities issued in the United States or major eurobond developed markets. A combination of top down and bottom up analysis is used to identify higher quality names with strong and improving credit fundamentals.
Sustainable, Responsible
&/or ESG Overview:
This strategy is designed to comply with Article 9 of the European Union’s Sustainable Finance Disclosure Regulation (SFDR), and therefore has sustainable investment as part of its investment objective. NCRAM will invest in securities of issuers that it views as contributing to environmental and/or social objectives. Environmental objectives include climate change mitigation, climate adaptation, efficient use of raw materials, and supporting a circular economy, amongst others. Social objectives include tackling inequality, investment in human capital, encouraging social integration, and so forth. NCRAM categorizes contribution to “direct contribution”, “indirect contribution” and “transitions” when identifying sustainable investments. GSHY also excludes issuers with the highest ESG risks as determined by NCRAM’s proprietary ESG risk assessment framework, and issuers that derive more than 5% of their revenue from thermal coal production, issuers that produce tobacco, and issuers involved with controversial weapons. GSHY also avoids investing in companies deemed to be in violation of the UNGC and OECD Guidelines.
Primary fund last amended:
Aug 2024
Information directly from fund manager.
Fund Filters
Sustainability - General
Find funds which substantially focus on sustainability issues
Find funds where there is a significant emphasis on (environmental and social) sustainability. Funds with a 'sustainability theme' typically place more emphasis on the area than funds with a 'sustainability policy' - meaning that it is more likely to drive investment selection. Strategies vary. See fund information for further detail.
A core element of these funds aim to encourage higher sustainability standards across business practices through responsible ownership / stewardship / engagement / voting activity
Find funds that use the UN Global Compact to inform or help direct where they can or cannot invest and will typically not invest in companies with significant breaches (low standards) - although strategies vary. (The UNGC covers a wide range of issues - search 'UNGC'). See https://unglobalcompact.org/
The delivery of the shift to a sustainable future is a core feature of this fund and its investment strategy. See eg https://www.transitionpathwayinitiative.org/
Environmental - General
Funds that aim to invest in companies with strong or market leading environmental policies and practices. Strategies vary - in particular the balance between 'financial' aspects and environmental benefits. Some may invest substantially in solutions or 'positive impact' companies - others may invest in more conventional companies providing certain environmental criteria are met. See fund information for further detail.
Climate Change & Energy
Funds that avoid investing in major coal, oil and/or gas (extraction) companies. Funds vary: some may exclude all companies that extract oil. Others may have exposure to oil extraction via more diversified energy companies. See fund literature to confirm details.
Find funds where investment in clean / renewable energy companies an other assets is central to their investment selection strategy. The proportion of the fund that is directly or indirectly invested in renewable energy varies between funds and over time. See fund information for further details.
A core element of these funds will aim to encourage the transition to lower carbon activities through responsible ownership / stewardship / engagement / voting activity
Funds that hold companies in the clean energy and renewable energy sectors (at the time research was supplied). Fund strategies vary, in particular the proportion of investment in these areas may vary significantly. Check fund literature for details.
Ethical Values Led Exclusions
Companies are excluded if they are involved in any aspect of the production chain for tobacco products, including cigarettes, vaping, e-cigarettes, chewing tobacco and cigars.
Companies are excluded if they make more than 5% of their revenue from the manufacture, sale or distribution of tobacco products including cigarettes, vaping, e-cigarettes, chewing tobacco and cigars.
Governance & Management
Find fund options that have policies that relate to corporate governance issues such as board structure, executive remuneration, bribery and/or corporate corruption. These funds will typically avoid companies with poor practices. Strategies vary. See fund literature for further information.
Find funds that aim to avoid investing in companies with poor governance practices.(e.g. board structure, management practices etc.) Views may however vary on what counts as 'poor' practices - and funds may not immediately divest as they may prefer to work to encourage higher standards. See fund literature for further information.
Exclude companies that are subject to United Nations sanctions. See eg https://main.un.org/securitycouncil/en/content/un-sc-consolidated-list
Fund managers encourage the companies they invest in to have more diverse board structures (e.g. more women on boards)
A core element of these funds will aim to encourage higher ESG standards through responsible ownership / stewardship / engagement /voting activity
Fund Governance
Find funds that factor in 'environmental, social and governance' issues as part of their investment decision making process. A focus on 'ESG' typically means a fund is carrying out additional research to help reduce ESG related risks. It does not necessarily mean a focus on sustainability. Strategies vary. See fund literature.
Impact Methodologies
Funds that aim to help or support the delivery of positive social or environmental impacts (or societal/real world outcomes) by investing in companies they regard as beneficial to people and / or the planet. Strategies vary. See fund literature for further information.
Find funds that direct investment towards companies where a major part of their business is about solving environmental challenges. e.g. companies helping to address climate change.
Find funds that invest in companies where a major part of their business is specifically aimed at helping to address social challenges. e.g. companies helping to address poverty.
How The Fund Works
Find funds that focus on finding and investing in companies with positive / beneficial attributes. This strategy can be applied in addition to exclusion criteria and engagement/stewardship activity.
Find funds where their main 'ethical approach' is to avoid companies by using negative screening criteria. Read fund literature for further information.
Aims to avoid companies that do significant harm. This originates from the EU’s sustainable finance ‘DNSH’ (do no significant harm) work, which is not necessarily used by UK investors.
Find funds that make significant use of internationally agreed 'norms' (e.g. United Nations Global Compact - UNGC - or the UN Sustainable Development Goals - SDGs) as part of their investment selection process alongside additional SRI criteria such as positive or negative stock selection policies and/or stewardship strategies.
Find funds that have an ESG strategy (which is typically focused on avoiding companies that pose environmental, social or governance related risks) with additional criteria such as positive and/or negative screens, themes and stewardship strategies.
A major focus of these funds is the careful management of environmental, social and governance (ESG) related risks - typically by avoiding or being underweight in companies seen as posing major risks in these areas (i.e. not necessarily by using themes, exclusions etc).
Find funds that have published explanations of their ethical, social and/or environmental policies online (i.e. fund decision making strategies/ buy/sell &/or asset management strategies).
Unscreened Assets & Cash
All assets held in the fund - except cash - meet the sustainability criteria published in fund documentation.
Intended Clients & Product Options
Finds funds designed to meet the needs of individual investors with an interest in sustainability issues.
Labels & Accreditations
Finds funds classified under Article 9 of the EU’s SFDR (Sustainable Finance Disclosure Requirements). Article 9 of the SFDR applies to financial products that have sustainable investment 'objectives' - including emissions reduction objectives. (These may currently be referred to as 'impact' funds or aiming to deliver clear, specific positive outcomes.) These rules do not currently apply in the UK so fund managers may leave this field blank.
Fund Management Company Information
About The Business
Find fund management companies that actively encourage higher 'environmental, social and governance' and/or 'sustainable and responsible investment' practices across investee companies - typically where the aim is to encourage positive change that is aligned with the best interests of investors. Strategies vary. See additional information and options.
Find fund managers that vote all* the shares they own at Annual General Meetings and Extraordinary General Meetings. A commitment to voting shares is a key indicator of 'responsible share ownership' demonstrating their support for or disagreement with management policy. (*situations can legitimately, occasionally occur where voting proves impossible, but in principle all shares should be voted.)
Find funds run by fund managers that apply Responsible ownership or 'Stewardship' policies to all or most of their investment assets. This means active involvement (e.g. voting, dialogue) with the companies they invest in across funds (not normally limited to ethical or SRI options.) Read fund literature for further information.
Find fund management companies that consider environmental, social and governance (ESG) issues when deciding whether or not to invest in a company for all / almost all of their funds and other assets. This is increasingly seen as part of sound risk management.
Asset management company has investments in bonds designed to meet sustainability requirements - however these assets may not be 'ringfenced' for this purpose. See fund manager website for details.
Fund management entity offers unstructured intermediary training on sustainable investment (ie for financial advisers and wealth managers)
Fund management entity offers unstructured intermediary training on sustainable investment (ie for financial advisers and wealth managers)
Collaborations & Affiliations
Find fund management companies that have signed up to the UN backed 'Principles of Responsible Investment'.
Resources
Find fund management companies that makes use of expert external research companies. This can help deliver specialist expertise and means resources are pooled with other investors.
Accreditations
Find fund managers that are signatories to the FRC UK Stewardship Code, which sets out a framework for constructive investor / investee relations where fund managers are encouraged to behave like responsible, typically longer term 'company owners'.
Engagement Approach
Fund manager has stewardship /responsible ownership strategy that is focused on addressing climate change with investee assets.
Asset manager has a stewardship /responsible ownership strategy that involves working with fossil fuel companies on climate change related issues. See fund manager website for details.
Asset manager has responsible ownership / stewardship strategy in place that aims to improve labour standards for the benefit of employees in investee companies (and potentially their suppliers)
Asset management company has a stewardship strategy in place which involves working to raise diversity, equality and inclusion standards across investee assets
Fund managers have stewardship strategies in place that focus on improving governance standards across investee assets
Company Wide Exclusions
Find fund management companies (not funds) that avoid investment in 'controversial weapons' across all of their funds and other investment vehicles.
Find fund management companies that avoid investment in tobacco (manufacturing) companies across all their assets.
This asset manager has a strategy in place that will lead them to exit direct investments in the coal mining industry. Managers ability to do this may depend on the geographic regions in which they invest.
This asset manager excludes direct investment in the coal mining industry. Managers ability to do this may depend on the geographic regions in which they invest.
Transparency
Find companies that publish information about their sustainable and responsible investment strategies on their company website.
Find fund management companies that will supply information about their sustainable and responsible investment activity on request.
Sustainable, Responsible &/or ESG Policy:
The fund is an actively managed portfolio that will invest primarily in high yielding Debt and Debt-Related Securities, issued in developed markets principally by companies which are listed or traded on a Recognised Exchange. The Investment Manager has a proprietary framework to identify sustainable investments. Within its framework, the Investment Manager categorises contribution to environmental or social objective in the following categories; i) “direct contribution”, ii) “indirect contribution” and iii) “transition”.
Direct contribution
Products and/or services offered by a company inherently contribute to one or more environmental or social objectives or a company is in the process of developing products and/or services that will contribute to one or more environmental or social objectives. In each case, contribution or potential contribution needs to be measured by quantitative or qualitative indicators.
Indirect contribution
A company that does not necessarily have products or services which contribute to environmental or social objectives but is operating its business in a way that is aligned with one or more environmental or social objective. In each case, contribution needs to be measured by quantitative or qualitative indicators.
Transition
A company has a credible climate transition plan which is in line with available and/or relevant sectoral pathways, technology roadmaps and/or local taxonomies. For investing in such companies, the Investment Manager will be required to assess the risk of carbon lock-in (the risk of an investment delaying or preventing the company’s transition to near-zero or net-zero alternatives), whether such company supports a “just transition” (a transition to a more sustainable economy where the benefits are shared widely and fairly, and those who get negatively affected by such transition will be supported), and whether such investment causes significant harm to any environmental and social objectives without relying on the prospect or plans of reducing significant harm in the future.
In order to identify sustainable investments that meet one or more of the categories above, the Investment Manager will implement the following strategies; 1) proprietary ESG scores, 2) exclusions, and 3) contribution assessment.
1.Proprietary ESG scores
The Investment Manager will assign a proprietary ESG score to each potential issuer by incorporating environmental, social, and governance factors into its sustainability analysis. The Investment Manager’s sustainability analysis will aim to understand issuers’ sustainability strengths and risks through the evaluation of relevant factors such as, but are not limited to, emissions, utilisation of renewable energy, human capital development, stakeholder relations, board independence, and transparency, depending on the nature of the issuer. In this process, the Investment Manager’s research analysts will analyse and assess an issuer from the following perspectives; 1) the level of expected financial impact of ESG risks on the company, and 2) the level of issuer’s disclosure and/or transparency regarding significant ESG factors, as well as articulated plans to address or mitigate ESG risks.
The outcome of the analyses and assessments will be 1 to 8 scale ESG scores on an absolute basis (with 1 being the best). An ESG score is a composite score incorporating environmental, social and governance factors as indicated above. The Investment Manager’s research analysts will utilise both direct communication with an issuer as well as secondary sources of information, including public filings, financial news, and third party research. Although information from third party vendors will be taken into account as an input, the Investment Manager’s analysts will make the final determination on ESG scores.
2.Exclusions
- Thermal coal: Exclusion of companies for which production of thermal coal represents more than 5% of the company’s revenue.
- Tobacco: Exclusion of companies that produce tobacco, or companies for which tobacco distribution represents more than 25% of the company’s revenue.
- Controversial weapons: Exclusion of companies involved with controversial weapons, including anti-personnel mines, cluster munitions, chemical weapons, and biological weapons.
- Exclusion of companies that the Investment Manager deems to be in violation of the UNGC and OECD Guidelines.
3.Contribution assessment
In order to identify sustainable investments, the Investment Manager will focus on characteristics such as products, services, business activities and/or behaviours of investee companies (dependent on the type of company under review) and will only invest where there is measurable and quantitative evidence that the company fits into one or more of the contribution categories above and is aligned with the achievement of the Sustainable Investment objective of the Fund. Examples of characteristics are:
- the issuer’s use of energy or other resources,
- the issuer’s management of waste or greenhouse gas emissions
- the issuer’s impact on its customers, employees, community, or society at large
In the 1) proprietary ESG scoring and 3) contribution assessment process, the Investment Manager will utilise analysis provided by its in-house analysts, company reports and/or engagement with companies, data and analysis from recognised third party ESG data providers (“Data Providers”), information from various third party Non-Governmental Organisations (NGOs) whose mission is relevant to the issuer in question, and/or data from other sources such as industry reports and other third party research reports. The Investment Manager’s assessment and proprietary ESG scores may differ from those of the Data Providers.
Process:
Potential investments are rated based on sustainability strengths and risks.
NCRAM credit analysts’ sustainability research is the basis of a proprietary ESG risk score applied to issuers in the investment universe. ESG scores are based on our analysts’ professional judgment, not an algorithm or quantitative model. The score is driven by the issuer’s ESG strengths and risks, and incorporates the level of transparency the company provides to investors and a forward-looking evaluation of the issuer’s plans to manage or reduce sustainability risk. Only issuers ranked 1-5 on our 8-point ESG risk rating scale are eligible investments for GSHY. In practice, the strategy will focus on issuers rated 1-4.
A solid ESG score is a necessary but insufficient qualification for inclusion in the portfolio. The issuer must also make a positive contribution to a specific environmental or social objective, do no significant harm regarding sustainability matters, and practice good governance. Most issuers that satisfy these three objectives will also have a strong ESG score, but not all issuers with a strong ESG score will tick each of the three boxes. Our analysts are responsible for evaluating and documenting their assessments of each issuer in these areas.
Resources, Affiliations & Corporate Strategies:
NCRAM’s dedicated high yield analysts perform the vast majority of the research utilized in the management of high yield portfolios. Analysis of ESG factors is based on both direct communication with the issuer as well as secondary sources. NCRAM has also engaged Sustainalytics to provide external research on ESG factors. NCRAM analysts will synthesize this information and include relevant highlights of an issuer’s strengths and risks with regard to ESG factors in new-issue or other introductory credit reports. Credit reviews also include an analysis of ESG factors. Analysts and portfolio managers consider those factors in their credit analysis and assess whether the strengths and risks are priced into market yields and spreads. Existing positions are continually monitored by the research analyst and also are formally reviewed during periodic portfolio reviews among the portfolio manager, CIO and credit analyst.
NCRAM's tools for measuring ESG portfolio characteristics include our deep, fundamental credit research process, our proprietary absolute and relative ESG scores, and ESG risk scores and carbon data from Sustainalytics, to supplement our internal research. These characteristics are monitored at the portfolio level as part of our daily risk reporting. NCRAM obtains ESG data from primary sources and vendors including Sustainalytics.
To date, NCRAM has chosen not to have a separate ESG team. We believe ESG integration is well-covered by our experienced investment team and our 9-person ESG Committee. ESG considerations are embedded in our investment process and incorporated in our credit analysts’ fundamental research. Since the majority of our AUM takes an integration approach to ESG, we think having our ESG thought leadership embedded in the business and in the investment team is better suited to NCRAM’s fundamental investment process vs. a separate ESG team. We think it encourages ownership of ESG considerations throughout the team.
NCRAM became a signatory to the United Nations Principles for Responsible Investment (UN PRI) in 2013 and signed on as a supporter of the Task Force on Climate-Related Financial Disclosures (TCFD) in 2021.
NCRAM’s ESG policy is available online at: www.ncram.com/esg-policy
SDR Labelling: Not eligible to use label
Literature
Disclaimer
Disclaimer
NCRAM Disclosures
This information was prepared by Nomura Corporate Research and Asset Management Inc. (NCRAM) and Nomura Asset Management Europe KVG mbH (NAM EU) for informational purposes only. All information contained in this document is proprietary and confidential to NCRAM. All opinions and estimates included herein constitute NCRAM's judgment, unless stated otherwise, as of this date and are subject to change without notice. There can be no assurance nor is there any guarantee, implied or otherwise, that opinions related to forecasts will be met. Certain information contained herein is obtained from various secondary sources that are believed to be reliable, however, NCRAM does not guarantee its accuracy and such information may be incomplete or condensed. Historical investment performance is no guarantee of future results. There is a risk of loss.
Certain information contained in this document contains forward-looking statements including future-oriented financial information and financial forecasts under applicable securities laws (collectively referred to herein as forward-looking statements). Except for statements of historical fact, information contained herein constitutes forward-looking statements. Although NCRAM believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that forward-looking statements will prove to be accurate. These statements are not guarantees of future performance and undue reliance should not be placed on them. Forward-looking information is subject to certain risks, trends, and uncertainties that could cause actual performance and financial results in future periods to differ materially from those projected. NCRAM undertakes no obligation to update forward-looking statements if circumstances or NCRAM’s estimates or opinions should change.
This document is intended for the use of the person to whom it is delivered. Neither this document nor any part hereof may be reproduced, transmitted or redistributed without the prior written authorization of NCRAM. Further, this document is not to be construed as investment advice, or as an offer to buy or sell any security, or the solicitation of an offer to buy or sell any security. Any reproduction, transmittal or redistribution of its contents may constitute a violation of the U.S. federal securities laws.
Performance data is calculated by NCRAM based upon market prices obtained from market dealers and pricing services or, in their absence, an estimate of market value based on NCRAM’s pricing and valuation policy. Performance data stated herein may vary from pricing determined by an advisory client or by a third party on behalf of the advisory client. Performance data set forth herein is provided for the purpose of facilitating analysis of account assets managed by NCRAM, and should not be used for the purpose of reporting or advertising performance of specific account portfolios to account beneficiaries or to third parties.
An investment in high yield instruments involves special considerations and certain risks, including risk of default and price volatility, and such securities are regarded as being predominantly speculative as to the issuer's ability to make payments of principal and interest.
NCRAM uses certain processes when determining the ESG strengths and weaknesses of issuers. Different ESG processes may achieve different results. NCRAM’s overall ESG determinations with regard to issuers may change over time. NCRAM’s ESG determinations may not conform to a client’s ESG determinations. NCRAM may purchase or hold securities from issuers which may be considered to have low ESG ratings and/or substantial ESG risk (unless limitations are stipulated in client guidelines). Low ESG determinations do not automatically result in an exclusion or sell decision (unless exclusions are stipulated in client guidelines).
A copy of NCRAM's Code of Ethics and its Part 2A of Form ADV, are available upon request by contacting NCRAM’s Chief Compliance Officer via e-mail at Compliance@nomura-asset.com or via postal mail request at Nomura Corporate Research and Asset Management Inc., Worldwide Plaza, 309 West 49th Street, Compliance Department, Attn: Chief Compliance Officer, New York, NY 10019-7316.
The views and estimates expressed in this material represent the opinions of NCRAM and are subject to change without notice and are not intended as a forecast or guarantee of future results. Such opinions are statements of financial market trends based on current market conditions. The views and strategies described may not be suitable for all investors. This material has been prepared for informational purposes only, and is not intended to provided, and should not be relied upon as legal or tax advice.
The portfolio may participate in new issuances of securities (New Issues), and a portion of the portfolio’s returns consequently may be attributable to its investment in New Issues. The market value of New Issues may fluctuate considerably due to factors such as the absence of a prior public market, unseasoned trading, and the limited availability for trading and limited information about the issuer. When a portfolio’s asset base is small, New Issues may have a magnified impact on the portfolio’s performance. As a portfolio’s assets grow, it is probable that the effect of the portfolio’s investment in New Issues on its total returns may not be as significant, which could reduce the portfolio’s performance. There is no guarantee that the availability or economic attractiveness of New Issues will be consistent from year to year.
This document is not intended in any way to indicate or guarantee future investment results as the value of investments may go down as well as up. Values may also be affected by exchange rate movements and investors may not get back the full amount originally invested. Before purchasing any investment fund or product, you should read the related prospectus and/or documentation in order to form your own assessment and judgment and, to make an investment decision. Nomura Asset Management U.K. Limited is authorized and regulated by the Financial Conduct Authority. Nomura Asset Management Europe KVG mbH is regulated by the Financial Conduct Authority and BaFin.
NAM EU Disclosures
This document was prepared by Nomura Asset Management Europe KVG mbH – UK Branch using information supplied by Nomura Corporate Research and Asset Management Inc. (NCRAM).
Nomura Asset Management Europe KVG mbH is authorised and regulated by the Federal Financial Supervisory Authority (BaFin). Its UK Branch is also authorised and regulated by the Financial Conduct Authority (FCA). The information in this report is not intended in any way to indicate or guarantee future investment results as the value of investments may go down as well as up. Values may also be affected by exchange rate movements and investors may not get back the full amount originally invested. Before purchasing any investment product, you should read the related risk documentation in order to form your own assessment and judgement and, to make an investment decision. This document may not be reproduced or redistributed, in whole or in part, for any purpose without the written permission of Nomura Asset Management Europe KVG mbH.
This is a marketing communication. Please refer to the prospectus and to the KIID before making any final investment decisions.
The fund is a sub-fund of Nomura Funds Ireland plc, which is authorised by the Central Bank of Ireland as an open-ended umbrella investment company with variable capital and segregated liability between its sub-funds, established as an undertaking for Collective Investment in Transferable Securities under the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011. The UCITS fund is not intended for distribution to or use by any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation.
The prospectus, key investor information document (KIID) and other fund related materials are available in English and, for the KIID, in the official language of the countries in which the fund is available for distribution on the Nomura Asset Management U.K. Ltd. website at https://www.nomura-asset.co.uk/fund-documents/ Nomura Asset Management U.K. Ltd. is authorised and regulated by the Financial Conduct Authority.
A summary of investor rights in English and information on collective redress mechanisms are available at https://www.nomura-asset.co.uk/download/funds/how-to-invest/Summary_of_investor_rights.pdf. Nomura Asset Management U.K. Limited may at any time decide to terminate arrangements it may have made for the marketing of units of a fund in a member state other than its home member state.
Investment in high yield securities generally entails increased interest rate, credit, liquidity and market risk. Investment in non-investment grade securities may subject the fund to heightened litigation risks and / or prevent their disposal. Investment in securities of distressed entities may involve sudden and erratic price movements and volatility.
The EU Sustainable Finance Disclosure Regulation (SFDR) requires investment firms to formalise how sustainability is integrated into their business and processes, and to make new public and client-facing disclosures on sustainability matters. The aforementioned disclosures relating to Nomura Asset Management U.K. Limited are published on our website at https://www.nomura-asset.co.uk/responsible-investment/esg-sustainable-investment/. Product related disclosures regarding Nomura Funds Ireland PLC, its sub-funds can be found in the Prospectus. Nomura Funds Ireland plc - Global Sustainable High Yield Bond Fund is an Art. 9 fund according to SFDR.
| Fund Name | SRI Style | SDR Labelling | Product | Region | Asset Type | Launch Date | Last Amended |
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|---|---|---|---|---|---|---|---|---|
Nomura Funds Ireland plc – Global Sustainable High Yield Bond Fund |
Sustainability Tilt | Not eligible to use label | SICAV/Offshore | Global | Fixed Interest | 14/04/2014 | Aug 2024 | |
ObjectivesThe fund has sustainable investment as its investment objective and seeks to achieve current yield and capital gains, through investment in a diversified portfolio of primarily high yielding debt securities issued in the United States or major eurobond developed markets. A combination of top down and bottom up analysis is used to identify higher quality names with strong and improving credit fundamentals. |
Fund Size: £56.90m (as at: 31/03/2024) Total Screened Themed SRI Assets: £56.90m (as at: 31/03/2024) Total Responsible Ownership Assets: £27431.00m (as at: 31/03/2024) Total Assets Under Management: £27431.00m (as at: 31/03/2024) ISIN: IE000EJXOBC8, IE0006VZUPL1, IE00BYNJKH83, IE00BK0SCX03, IE00BYNJKC39, IE00BYNJKH83, IE00BD41S610, IE00BK0SCT66, IE00BYNJKD46 Contact Us: info@nomura-asset.co.uk |
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Sustainable, Responsible &/or ESG OverviewThis strategy is designed to comply with Article 9 of the European Union’s Sustainable Finance Disclosure Regulation (SFDR), and therefore has sustainable investment as part of its investment objective. NCRAM will invest in securities of issuers that it views as contributing to environmental and/or social objectives. Environmental objectives include climate change mitigation, climate adaptation, efficient use of raw materials, and supporting a circular economy, amongst others. Social objectives include tackling inequality, investment in human capital, encouraging social integration, and so forth. NCRAM categorizes contribution to “direct contribution”, “indirect contribution” and “transitions” when identifying sustainable investments. GSHY also excludes issuers with the highest ESG risks as determined by NCRAM’s proprietary ESG risk assessment framework, and issuers that derive more than 5% of their revenue from thermal coal production, issuers that produce tobacco, and issuers involved with controversial weapons. GSHY also avoids investing in companies deemed to be in violation of the UNGC and OECD Guidelines. |
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Primary fund last amended: Aug 2024 |
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Information received directly from Fund Manager |
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Fund FiltersSustainability - General
Sustainability focus
Find funds which substantially focus on sustainability issues
Sustainability theme or focus
Find funds where there is a significant emphasis on (environmental and social) sustainability. Funds with a 'sustainability theme' typically place more emphasis on the area than funds with a 'sustainability policy' - meaning that it is more likely to drive investment selection. Strategies vary. See fund information for further detail.
Encourage more sustainable practices through stewardship
A core element of these funds aim to encourage higher sustainability standards across business practices through responsible ownership / stewardship / engagement / voting activity
UN Global Compact linked exclusion policy
Find funds that use the UN Global Compact to inform or help direct where they can or cannot invest and will typically not invest in companies with significant breaches (low standards) - although strategies vary. (The UNGC covers a wide range of issues - search 'UNGC'). See https://unglobalcompact.org/
Transition focus
The delivery of the shift to a sustainable future is a core feature of this fund and its investment strategy. See eg https://www.transitionpathwayinitiative.org/ Environmental - General
Favours cleaner, greener companies
Funds that aim to invest in companies with strong or market leading environmental policies and practices. Strategies vary - in particular the balance between 'financial' aspects and environmental benefits. Some may invest substantially in solutions or 'positive impact' companies - others may invest in more conventional companies providing certain environmental criteria are met. See fund information for further detail. Climate Change & Energy
Coal, oil & / or gas majors excluded
Funds that avoid investing in major coal, oil and/or gas (extraction) companies. Funds vary: some may exclude all companies that extract oil. Others may have exposure to oil extraction via more diversified energy companies. See fund literature to confirm details.
Clean / renewable energy theme or focus
Find funds where investment in clean / renewable energy companies an other assets is central to their investment selection strategy. The proportion of the fund that is directly or indirectly invested in renewable energy varies between funds and over time. See fund information for further details.
Encourage transition to low carbon through stewardship activity
A core element of these funds will aim to encourage the transition to lower carbon activities through responsible ownership / stewardship / engagement / voting activity
Invests in clean energy / renewables
Funds that hold companies in the clean energy and renewable energy sectors (at the time research was supplied). Fund strategies vary, in particular the proportion of investment in these areas may vary significantly. Check fund literature for details. Ethical Values Led Exclusions
Tobacco and related product manufacturers excluded
Companies are excluded if they are involved in any aspect of the production chain for tobacco products, including cigarettes, vaping, e-cigarettes, chewing tobacco and cigars.
Tobacco and related products - avoid where revenue > 5%
Companies are excluded if they make more than 5% of their revenue from the manufacture, sale or distribution of tobacco products including cigarettes, vaping, e-cigarettes, chewing tobacco and cigars. Governance & Management
Governance policy
Find fund options that have policies that relate to corporate governance issues such as board structure, executive remuneration, bribery and/or corporate corruption. These funds will typically avoid companies with poor practices. Strategies vary. See fund literature for further information.
Avoids companies with poor governance
Find funds that aim to avoid investing in companies with poor governance practices.(e.g. board structure, management practices etc.) Views may however vary on what counts as 'poor' practices - and funds may not immediately divest as they may prefer to work to encourage higher standards. See fund literature for further information.
UN sanctions exclusion
Exclude companies that are subject to United Nations sanctions. See eg https://main.un.org/securitycouncil/en/content/un-sc-consolidated-list
Encourage board diversity e.g. gender
Fund managers encourage the companies they invest in to have more diverse board structures (e.g. more women on boards)
Encourage higher ESG standards through stewardship activity
A core element of these funds will aim to encourage higher ESG standards through responsible ownership / stewardship / engagement /voting activity Fund Governance
ESG integration strategy
Find funds that factor in 'environmental, social and governance' issues as part of their investment decision making process. A focus on 'ESG' typically means a fund is carrying out additional research to help reduce ESG related risks. It does not necessarily mean a focus on sustainability. Strategies vary. See fund literature. Impact Methodologies
Aims to generate positive impacts (or 'outcomes')
Funds that aim to help or support the delivery of positive social or environmental impacts (or societal/real world outcomes) by investing in companies they regard as beneficial to people and / or the planet. Strategies vary. See fund literature for further information.
Invests in environmental solutions companies
Find funds that direct investment towards companies where a major part of their business is about solving environmental challenges. e.g. companies helping to address climate change.
Invests in social solutions companies
Find funds that invest in companies where a major part of their business is specifically aimed at helping to address social challenges. e.g. companies helping to address poverty. How The Fund Works
Positive selection bias
Find funds that focus on finding and investing in companies with positive / beneficial attributes. This strategy can be applied in addition to exclusion criteria and engagement/stewardship activity.
Negative selection bias
Find funds where their main 'ethical approach' is to avoid companies by using negative screening criteria. Read fund literature for further information.
Significant harm exclusion
Aims to avoid companies that do significant harm. This originates from the EU’s sustainable finance ‘DNSH’ (do no significant harm) work, which is not necessarily used by UK investors.
Combines norms based exclusions with other SRI criteria
Find funds that make significant use of internationally agreed 'norms' (e.g. United Nations Global Compact - UNGC - or the UN Sustainable Development Goals - SDGs) as part of their investment selection process alongside additional SRI criteria such as positive or negative stock selection policies and/or stewardship strategies.
Combines ESG strategy with other SRI criteria
Find funds that have an ESG strategy (which is typically focused on avoiding companies that pose environmental, social or governance related risks) with additional criteria such as positive and/or negative screens, themes and stewardship strategies.
Focus on ESG risk mitigation
A major focus of these funds is the careful management of environmental, social and governance (ESG) related risks - typically by avoiding or being underweight in companies seen as posing major risks in these areas (i.e. not necessarily by using themes, exclusions etc).
SRI / ESG / Ethical policies explained on website
Find funds that have published explanations of their ethical, social and/or environmental policies online (i.e. fund decision making strategies/ buy/sell &/or asset management strategies). Unscreened Assets & Cash
All assets (except cash) meet published sustainability criteria
All assets held in the fund - except cash - meet the sustainability criteria published in fund documentation. Intended Clients & Product Options
Intended for investors interested in sustainability
Finds funds designed to meet the needs of individual investors with an interest in sustainability issues. Labels & Accreditations
SFDR Article 9 fund / product (EU)
Finds funds classified under Article 9 of the EU’s SFDR (Sustainable Finance Disclosure Requirements). Article 9 of the SFDR applies to financial products that have sustainable investment 'objectives' - including emissions reduction objectives. (These may currently be referred to as 'impact' funds or aiming to deliver clear, specific positive outcomes.) These rules do not currently apply in the UK so fund managers may leave this field blank. Fund Management Company InformationAbout The Business
ESG / SRI engagement (AFM company wide)
Find fund management companies that actively encourage higher 'environmental, social and governance' and/or 'sustainable and responsible investment' practices across investee companies - typically where the aim is to encourage positive change that is aligned with the best interests of investors. Strategies vary. See additional information and options.
Vote all* shares at AGMs / EGMs (AFM company wide)
Find fund managers that vote all* the shares they own at Annual General Meetings and Extraordinary General Meetings. A commitment to voting shares is a key indicator of 'responsible share ownership' demonstrating their support for or disagreement with management policy. (*situations can legitimately, occasionally occur where voting proves impossible, but in principle all shares should be voted.)
Responsible ownership policy for non SRI funds (AFM company wide)
Find funds run by fund managers that apply Responsible ownership or 'Stewardship' policies to all or most of their investment assets. This means active involvement (e.g. voting, dialogue) with the companies they invest in across funds (not normally limited to ethical or SRI options.) Read fund literature for further information.
Integrates ESG factors into all / most (AFM) fund research
Find fund management companies that consider environmental, social and governance (ESG) issues when deciding whether or not to invest in a company for all / almost all of their funds and other assets. This is increasingly seen as part of sound risk management.
Invests in new sustainability linked bond issuances (AFM company wide)
Asset management company has investments in bonds designed to meet sustainability requirements - however these assets may not be 'ringfenced' for this purpose. See fund manager website for details.
Offer structured intermediary training on sustainable investment
Fund management entity offers unstructured intermediary training on sustainable investment (ie for financial advisers and wealth managers)
Offer unstructured intermediary sustainable investment training
Fund management entity offers unstructured intermediary training on sustainable investment (ie for financial advisers and wealth managers) Collaborations & Affiliations
PRI signatory
Find fund management companies that have signed up to the UN backed 'Principles of Responsible Investment'. Resources
Use specialist ESG / SRI / sustainability research companies
Find fund management companies that makes use of expert external research companies. This can help deliver specialist expertise and means resources are pooled with other investors. Accreditations
UK Stewardship Code signatory (AFM company wide)
Find fund managers that are signatories to the FRC UK Stewardship Code, which sets out a framework for constructive investor / investee relations where fund managers are encouraged to behave like responsible, typically longer term 'company owners'. Engagement Approach
Engaging on climate change issues
Fund manager has stewardship /responsible ownership strategy that is focused on addressing climate change with investee assets.
Engaging with fossil fuel companies on climate change
Asset manager has a stewardship /responsible ownership strategy that involves working with fossil fuel companies on climate change related issues. See fund manager website for details.
Engaging on labour / employment issues
Asset manager has responsible ownership / stewardship strategy in place that aims to improve labour standards for the benefit of employees in investee companies (and potentially their suppliers)
Engaging on diversity, equality and / or inclusion issues
Asset management company has a stewardship strategy in place which involves working to raise diversity, equality and inclusion standards across investee assets
Engaging on governance issues
Fund managers have stewardship strategies in place that focus on improving governance standards across investee assets Company Wide Exclusions
Controversial weapons avoidance policy (AFM company wide)
Find fund management companies (not funds) that avoid investment in 'controversial weapons' across all of their funds and other investment vehicles.
Tobacco avoidance policy (AFM company wide)
Find fund management companies that avoid investment in tobacco (manufacturing) companies across all their assets.
Coal divestment policy (AFM company wide)
This asset manager has a strategy in place that will lead them to exit direct investments in the coal mining industry. Managers ability to do this may depend on the geographic regions in which they invest.
Coal exclusion policy (group wide coal mining exclusion policy)
This asset manager excludes direct investment in the coal mining industry. Managers ability to do this may depend on the geographic regions in which they invest. Transparency
Full SRI / responsible ownership policy information on company website
Find companies that publish information about their sustainable and responsible investment strategies on their company website.
Full SRI / responsible ownership policy information available on request
Find fund management companies that will supply information about their sustainable and responsible investment activity on request. Sustainable, Responsible &/or ESG Policy:The fund is an actively managed portfolio that will invest primarily in high yielding Debt and Debt-Related Securities, issued in developed markets principally by companies which are listed or traded on a Recognised Exchange. The Investment Manager has a proprietary framework to identify sustainable investments. Within its framework, the Investment Manager categorises contribution to environmental or social objective in the following categories; i) “direct contribution”, ii) “indirect contribution” and iii) “transition”.
Direct contribution Products and/or services offered by a company inherently contribute to one or more environmental or social objectives or a company is in the process of developing products and/or services that will contribute to one or more environmental or social objectives. In each case, contribution or potential contribution needs to be measured by quantitative or qualitative indicators.
Indirect contribution A company that does not necessarily have products or services which contribute to environmental or social objectives but is operating its business in a way that is aligned with one or more environmental or social objective. In each case, contribution needs to be measured by quantitative or qualitative indicators.
Transition A company has a credible climate transition plan which is in line with available and/or relevant sectoral pathways, technology roadmaps and/or local taxonomies. For investing in such companies, the Investment Manager will be required to assess the risk of carbon lock-in (the risk of an investment delaying or preventing the company’s transition to near-zero or net-zero alternatives), whether such company supports a “just transition” (a transition to a more sustainable economy where the benefits are shared widely and fairly, and those who get negatively affected by such transition will be supported), and whether such investment causes significant harm to any environmental and social objectives without relying on the prospect or plans of reducing significant harm in the future.
In order to identify sustainable investments that meet one or more of the categories above, the Investment Manager will implement the following strategies; 1) proprietary ESG scores, 2) exclusions, and 3) contribution assessment.
1.Proprietary ESG scores The Investment Manager will assign a proprietary ESG score to each potential issuer by incorporating environmental, social, and governance factors into its sustainability analysis. The Investment Manager’s sustainability analysis will aim to understand issuers’ sustainability strengths and risks through the evaluation of relevant factors such as, but are not limited to, emissions, utilisation of renewable energy, human capital development, stakeholder relations, board independence, and transparency, depending on the nature of the issuer. In this process, the Investment Manager’s research analysts will analyse and assess an issuer from the following perspectives; 1) the level of expected financial impact of ESG risks on the company, and 2) the level of issuer’s disclosure and/or transparency regarding significant ESG factors, as well as articulated plans to address or mitigate ESG risks.
The outcome of the analyses and assessments will be 1 to 8 scale ESG scores on an absolute basis (with 1 being the best). An ESG score is a composite score incorporating environmental, social and governance factors as indicated above. The Investment Manager’s research analysts will utilise both direct communication with an issuer as well as secondary sources of information, including public filings, financial news, and third party research. Although information from third party vendors will be taken into account as an input, the Investment Manager’s analysts will make the final determination on ESG scores.
2.Exclusions
3.Contribution assessment In order to identify sustainable investments, the Investment Manager will focus on characteristics such as products, services, business activities and/or behaviours of investee companies (dependent on the type of company under review) and will only invest where there is measurable and quantitative evidence that the company fits into one or more of the contribution categories above and is aligned with the achievement of the Sustainable Investment objective of the Fund. Examples of characteristics are:
In the 1) proprietary ESG scoring and 3) contribution assessment process, the Investment Manager will utilise analysis provided by its in-house analysts, company reports and/or engagement with companies, data and analysis from recognised third party ESG data providers (“Data Providers”), information from various third party Non-Governmental Organisations (NGOs) whose mission is relevant to the issuer in question, and/or data from other sources such as industry reports and other third party research reports. The Investment Manager’s assessment and proprietary ESG scores may differ from those of the Data Providers.
Process:Potential investments are rated based on sustainability strengths and risks.
NCRAM credit analysts’ sustainability research is the basis of a proprietary ESG risk score applied to issuers in the investment universe. ESG scores are based on our analysts’ professional judgment, not an algorithm or quantitative model. The score is driven by the issuer’s ESG strengths and risks, and incorporates the level of transparency the company provides to investors and a forward-looking evaluation of the issuer’s plans to manage or reduce sustainability risk. Only issuers ranked 1-5 on our 8-point ESG risk rating scale are eligible investments for GSHY. In practice, the strategy will focus on issuers rated 1-4.
A solid ESG score is a necessary but insufficient qualification for inclusion in the portfolio. The issuer must also make a positive contribution to a specific environmental or social objective, do no significant harm regarding sustainability matters, and practice good governance. Most issuers that satisfy these three objectives will also have a strong ESG score, but not all issuers with a strong ESG score will tick each of the three boxes. Our analysts are responsible for evaluating and documenting their assessments of each issuer in these areas. Resources, Affiliations & Corporate Strategies:NCRAM’s dedicated high yield analysts perform the vast majority of the research utilized in the management of high yield portfolios. Analysis of ESG factors is based on both direct communication with the issuer as well as secondary sources. NCRAM has also engaged Sustainalytics to provide external research on ESG factors. NCRAM analysts will synthesize this information and include relevant highlights of an issuer’s strengths and risks with regard to ESG factors in new-issue or other introductory credit reports. Credit reviews also include an analysis of ESG factors. Analysts and portfolio managers consider those factors in their credit analysis and assess whether the strengths and risks are priced into market yields and spreads. Existing positions are continually monitored by the research analyst and also are formally reviewed during periodic portfolio reviews among the portfolio manager, CIO and credit analyst.
NCRAM's tools for measuring ESG portfolio characteristics include our deep, fundamental credit research process, our proprietary absolute and relative ESG scores, and ESG risk scores and carbon data from Sustainalytics, to supplement our internal research. These characteristics are monitored at the portfolio level as part of our daily risk reporting. NCRAM obtains ESG data from primary sources and vendors including Sustainalytics.
To date, NCRAM has chosen not to have a separate ESG team. We believe ESG integration is well-covered by our experienced investment team and our 9-person ESG Committee. ESG considerations are embedded in our investment process and incorporated in our credit analysts’ fundamental research. Since the majority of our AUM takes an integration approach to ESG, we think having our ESG thought leadership embedded in the business and in the investment team is better suited to NCRAM’s fundamental investment process vs. a separate ESG team. We think it encourages ownership of ESG considerations throughout the team.
NCRAM became a signatory to the United Nations Principles for Responsible Investment (UN PRI) in 2013 and signed on as a supporter of the Task Force on Climate-Related Financial Disclosures (TCFD) in 2021.
NCRAM’s ESG policy is available online at: www.ncram.com/esg-policy
SDR Labelling: Not eligible to use label LiteratureDisclaimerDisclaimer NCRAM Disclosures This information was prepared by Nomura Corporate Research and Asset Management Inc. (NCRAM) and Nomura Asset Management Europe KVG mbH (NAM EU) for informational purposes only. All information contained in this document is proprietary and confidential to NCRAM. All opinions and estimates included herein constitute NCRAM's judgment, unless stated otherwise, as of this date and are subject to change without notice. There can be no assurance nor is there any guarantee, implied or otherwise, that opinions related to forecasts will be met. Certain information contained herein is obtained from various secondary sources that are believed to be reliable, however, NCRAM does not guarantee its accuracy and such information may be incomplete or condensed. Historical investment performance is no guarantee of future results. There is a risk of loss.
Certain information contained in this document contains forward-looking statements including future-oriented financial information and financial forecasts under applicable securities laws (collectively referred to herein as forward-looking statements). Except for statements of historical fact, information contained herein constitutes forward-looking statements. Although NCRAM believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that forward-looking statements will prove to be accurate. These statements are not guarantees of future performance and undue reliance should not be placed on them. Forward-looking information is subject to certain risks, trends, and uncertainties that could cause actual performance and financial results in future periods to differ materially from those projected. NCRAM undertakes no obligation to update forward-looking statements if circumstances or NCRAM’s estimates or opinions should change.
This document is intended for the use of the person to whom it is delivered. Neither this document nor any part hereof may be reproduced, transmitted or redistributed without the prior written authorization of NCRAM. Further, this document is not to be construed as investment advice, or as an offer to buy or sell any security, or the solicitation of an offer to buy or sell any security. Any reproduction, transmittal or redistribution of its contents may constitute a violation of the U.S. federal securities laws.
Performance data is calculated by NCRAM based upon market prices obtained from market dealers and pricing services or, in their absence, an estimate of market value based on NCRAM’s pricing and valuation policy. Performance data stated herein may vary from pricing determined by an advisory client or by a third party on behalf of the advisory client. Performance data set forth herein is provided for the purpose of facilitating analysis of account assets managed by NCRAM, and should not be used for the purpose of reporting or advertising performance of specific account portfolios to account beneficiaries or to third parties.
An investment in high yield instruments involves special considerations and certain risks, including risk of default and price volatility, and such securities are regarded as being predominantly speculative as to the issuer's ability to make payments of principal and interest.
NCRAM uses certain processes when determining the ESG strengths and weaknesses of issuers. Different ESG processes may achieve different results. NCRAM’s overall ESG determinations with regard to issuers may change over time. NCRAM’s ESG determinations may not conform to a client’s ESG determinations. NCRAM may purchase or hold securities from issuers which may be considered to have low ESG ratings and/or substantial ESG risk (unless limitations are stipulated in client guidelines). Low ESG determinations do not automatically result in an exclusion or sell decision (unless exclusions are stipulated in client guidelines).
A copy of NCRAM's Code of Ethics and its Part 2A of Form ADV, are available upon request by contacting NCRAM’s Chief Compliance Officer via e-mail at Compliance@nomura-asset.com or via postal mail request at Nomura Corporate Research and Asset Management Inc., Worldwide Plaza, 309 West 49th Street, Compliance Department, Attn: Chief Compliance Officer, New York, NY 10019-7316.
The views and estimates expressed in this material represent the opinions of NCRAM and are subject to change without notice and are not intended as a forecast or guarantee of future results. Such opinions are statements of financial market trends based on current market conditions. The views and strategies described may not be suitable for all investors. This material has been prepared for informational purposes only, and is not intended to provided, and should not be relied upon as legal or tax advice.
The portfolio may participate in new issuances of securities (New Issues), and a portion of the portfolio’s returns consequently may be attributable to its investment in New Issues. The market value of New Issues may fluctuate considerably due to factors such as the absence of a prior public market, unseasoned trading, and the limited availability for trading and limited information about the issuer. When a portfolio’s asset base is small, New Issues may have a magnified impact on the portfolio’s performance. As a portfolio’s assets grow, it is probable that the effect of the portfolio’s investment in New Issues on its total returns may not be as significant, which could reduce the portfolio’s performance. There is no guarantee that the availability or economic attractiveness of New Issues will be consistent from year to year.
This document is not intended in any way to indicate or guarantee future investment results as the value of investments may go down as well as up. Values may also be affected by exchange rate movements and investors may not get back the full amount originally invested. Before purchasing any investment fund or product, you should read the related prospectus and/or documentation in order to form your own assessment and judgment and, to make an investment decision. Nomura Asset Management U.K. Limited is authorized and regulated by the Financial Conduct Authority. Nomura Asset Management Europe KVG mbH is regulated by the Financial Conduct Authority and BaFin.
NAM EU Disclosures This document was prepared by Nomura Asset Management Europe KVG mbH – UK Branch using information supplied by Nomura Corporate Research and Asset Management Inc. (NCRAM).
Nomura Asset Management Europe KVG mbH is authorised and regulated by the Federal Financial Supervisory Authority (BaFin). Its UK Branch is also authorised and regulated by the Financial Conduct Authority (FCA). The information in this report is not intended in any way to indicate or guarantee future investment results as the value of investments may go down as well as up. Values may also be affected by exchange rate movements and investors may not get back the full amount originally invested. Before purchasing any investment product, you should read the related risk documentation in order to form your own assessment and judgement and, to make an investment decision. This document may not be reproduced or redistributed, in whole or in part, for any purpose without the written permission of Nomura Asset Management Europe KVG mbH.
This is a marketing communication. Please refer to the prospectus and to the KIID before making any final investment decisions.
The fund is a sub-fund of Nomura Funds Ireland plc, which is authorised by the Central Bank of Ireland as an open-ended umbrella investment company with variable capital and segregated liability between its sub-funds, established as an undertaking for Collective Investment in Transferable Securities under the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011. The UCITS fund is not intended for distribution to or use by any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation.
The prospectus, key investor information document (KIID) and other fund related materials are available in English and, for the KIID, in the official language of the countries in which the fund is available for distribution on the Nomura Asset Management U.K. Ltd. website at https://www.nomura-asset.co.uk/fund-documents/ Nomura Asset Management U.K. Ltd. is authorised and regulated by the Financial Conduct Authority.
A summary of investor rights in English and information on collective redress mechanisms are available at https://www.nomura-asset.co.uk/download/funds/how-to-invest/Summary_of_investor_rights.pdf. Nomura Asset Management U.K. Limited may at any time decide to terminate arrangements it may have made for the marketing of units of a fund in a member state other than its home member state.
Investment in high yield securities generally entails increased interest rate, credit, liquidity and market risk. Investment in non-investment grade securities may subject the fund to heightened litigation risks and / or prevent their disposal. Investment in securities of distressed entities may involve sudden and erratic price movements and volatility.
The EU Sustainable Finance Disclosure Regulation (SFDR) requires investment firms to formalise how sustainability is integrated into their business and processes, and to make new public and client-facing disclosures on sustainability matters. The aforementioned disclosures relating to Nomura Asset Management U.K. Limited are published on our website at https://www.nomura-asset.co.uk/responsible-investment/esg-sustainable-investment/. Product related disclosures regarding Nomura Funds Ireland PLC, its sub-funds can be found in the Prospectus. Nomura Funds Ireland plc - Global Sustainable High Yield Bond Fund is an Art. 9 fund according to SFDR. |
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