Sustainability Related Disclosures

Environmental or social characteristics of the Fund

The Fund aims to provide a higher total return (capital growth plus income) than that of the sustainable global bond market over any five-year period, based on exposure to optimal income streams in global bond markets, while applying ESG Criteria and Sustainability Criteria.

How the Fund meets its environmental and social characteristics

The Fund applies ESG Integration. ESG integration is the systematic inclusion of ESG factors in investment analysis and investment decisions.

The Fund invests in securities that meet the ESG Criteria and Sustainability Criteria.

The following types of exclusions apply to the Fund’s direct investments:

• Norms-based exclusions: investments that are assessed to be in breach of commonly accepted standards of behaviour related to human rights, labour rights, environment and anti-corruption.
• Sector-based and/or values-based exclusions: investments and/or sectors exposed to business activities that are assessed to be damaging to human health, societal wellbeing, the environment, or otherwise assessed to be misaligned with the Fund’s sector-based and/or values-based criteria.
• Other exclusions: investments assessed to be otherwise in conflict with the ESG Criteria and Sustainability Criteria.

References to “assessed” above mean assessment in accordance with the ESG Criteria and Sustainability Criteria.

The benchmark of the Fund is a composite index comprising:

• 1/3 Bloomberg MSCI Global Agg Treasury ESG BB+ Sustainable SRI Bond Index EUR Hedged
• 1/3 Bloomberg MSCI Global Agg Corporate ESG BB+ Sustainable SRI Bond Index EUR Hedged
• 1/3 Bloomberg MSCI Global High Yield ESG BB+ Sustainable SRI Bond Index EUR Hedged.

The benchmark is an ESG benchmark which is consistent with the ESG characteristics promoted by the Fund. The indices which comprise the benchmark represent the global investment grade corporate market, the global high yield corporate market and the global government bond market and follow the rules of Bloomberg Global Aggregate Corporate Index, Bloomberg Global High Yield Index and Bloomberg Global Treasury Index respectively. In addition, each index applies ESG Factors for security eligibility. The Investment Manager refers to the benchmark when constructing the Fund’s portfolio but is not bound by the benchmark rules when selecting investments.

Additional information

Further information on the ESG methodology, including data sources, screening criteria and the relevant sustainability indicators of the Fund can be found in the ESG Criteria and Sustainability Criteria.

A description of ESG and responsible investment terms used is available in the Fund’s Prospectus.