Sustainable World Trust


Fund overview

The Fund aims to provide capital growth by investing predominantly in equities with some fixed interest securities and cash on a worldwide basis. The decision on whether to invest in equity or debt will be driven by the perceived potential for total return, although the Fund will likely retain an equity bias. Within the fixed interest portion of the Fund, the manager will invest in corporate and sovereign debt.

The Fund aims to invest in companies that have a net positive benefit to society either through the products and services they offer or in the way they conduct their business. The Fund invests in themes associated with sustainable investing. These evolve over time and currently include healthcare, technology, infrastructure, the social and economic development of emerging markets, urban regeneration and climate change.

Fund manager

Mike Fox is Head of Sustainable Investments at RLAM. Mike has managed RL Sustainable Leaders Trust since November 2003, Sustainable World since launch and Sustainable Diversified since February 2014. Prior to this, he was deputy fund manager on the Co-operative Pension Fund for two years, before which he worked as an investment analyst. Mike won Citywire's 2007 award for "UK Growth Fund Manager of the Year".

Investment approach

RLAM's sustainable team favours a distinctive approach, integrating the consideration of environmental, social and governance (ESG) issues, alongside financial analysis, throughout the investment process. Every holding has to meet key criteria and the team actively engage with the companies in which we invest to champion best practice on behalf of our clients, challenging companies on issues such as environmental policy and corporate governance standards.

The team’s exclusion policy is focused on avoiding companies believed to expose investors to unacceptable financial risk resulting from poor management of ESG issues.

This investment approach is characterised by a number of features:

  • Focus on long-term themes and trends such as infrastructure or changing demographics
  • Emphasis on active management across focused, high conviction ‘best ideas’ portfolios 
  • Valuation driven approach aimed at identifying mispriced opportunities
  • Low turnover with companies held within portfolios for typically 3 – 5 years
  • Careful analysis of company specific factors
  • Full integration of financial and ESG considerations throughout the investment process

Product Risk Warning

Past performance is not a guide to future performance. The value of investments and the income from them is not guaranteed and may go down as well as up and investors may not get back the amount originally invested. Unlike the income from a single fixed income security, the level of income (yield) from a fund is not fixed and may go up and down. For funds that use derivatives, their use may be beneficial, however, they also involve specific risks. Derivatives may alter the economic exposure of a fund over time, causing it to deviate from the performance of the broader market. This fund can invest more than 35% of its value in government securities.

Past performance is not a guide to future performance.

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