Sustainable, Responsible &/or ESG Policy:

Objectives and investment policy

The Fund aims to grow the value of your investment over the medium to long term (3 to 5 years). The Fund also aims to have a better exposure, relative to the MSCI Emerging Markets Index (net dividend reinvested) (the “Benchmark”) at rebalance, to metrics that measure: (i) the expected contribution of companies towards climate change, (ii) overall environmental, social and governance (ESG) scores, and (iii) alignment with specific United Nations Sustainable Development Goals (SDGs). In addition, the fund aims to align with the Investment Manager's net zero framework.

The Fund invests at least 80% in equities of companies in emerging markets. The Fund uses the Benchmark as a reference point when constructing the portfolio by predominantly investing in companies included in the Benchmark subject to a range of climate, sustainable and risk criteria. The metrics used to identify the possible investment universe measure the expected contribution of companies towards climate change, with a focus on mitigating the effects of climate change risk by limiting exposure to greenhouse gas emissions and considering how companies contribute to the transition to a low carbon economy.

The Fund aims to be net zero aligned by managing its carbon intensity profile following a science-based net zero pathway (currently defined in relevant climate models to limit global warming to 1.5 degree Celsius). 

The Fund is likely to have exposure to companies considered as laggards in terms of climate change and/or sustainability metrics as measured by the climate aware methodology or by other external methodologies, including but not limited to companies in sectors such as utilities, energy, and materials. This exposure arises due to management of portfolio risk, liquidity risk and diversification as well as voting and engagement programmes and/or differences in methodologies or data inputs.

Many emerging markets do not have well developed regulatory systems and disclosure standards in climate and sustainability metrics may be more limited and less stringent than those of developed
markets.

Other information:

In constructing and managing the portfolio, the Investment Manager follows a rules-based “climate aware” investment approach, taking into account both quantitative and qualitative criteria. Further information on these criteria is included in the prospectus. These criteria are based on proprietary and/or external data sources.

The Fund is actively managed with reference to the Benchmark but may have exposure to a broad representation of constituents of the Benchmark. The Investment Manager may use discretion when constructing the Fund and is not tied to the Benchmark in terms of weight and constituents. This means that the investment performance of the Fund may differ from the Benchmark.

(Source: KIID, as at Janaury 2025)

 

 

SDR Labelling:

Unlabelled with sustainable characteristics

SDR Literature:

• Consumer Facing Disclosure