For Investment Professionals only

M&G Positive Impact Fund

Seeking positive impact and sustainable wealth
John William Olsen, Fund Manager
Ben Constable-Maxwell, Head of Sustainable and Impact Investing

"Investing to help improve society and the environment does not mean giving up economic returns. We aim to invest in companies that address the world's major social and environmental challenges, while generating long-term wealth for our customers."

Introducing the M&G Positive Impact Fund

The M&G Positive Impact Fund seeks to deliver attractive returns through investments in impactful and sustainable companies.

The fund has two aims:

  • Provide a combination of capital growth and income, net of the ongoing charge figure, that is higher than the MSCI ACWI Index over any five-year period; and
  • Invest in companies that have a positive impact on society through addressing the world’s major social and/or environmental challenges.

Reasons to consider investing

  • This public equity impact fund offers a compelling dual proposition, seeking to achieve competitive economic returns and a positive contribution to society.
  • The fund manager aims to invest in companies with quality business models, capable of growing sustainably over the long term, in order to benefit from the ‘double compounding’ of both financial returns and positive societal impact over time.
  • A strategy that can benefit from flows of capital across sectors and industries to help achieve the UN Sustainable Development Goals (SDGs)* – a universal call to action to end poverty, protect the planet and ensure that all people enjoy peace and prosperity.

*While we support the UN SDGs, we are not associated with the UN and our funds are not endorsed by them.

Why impact investing now?

  • Investors are increasingly seeking a positive impact from their investments.
  • A changing regulatory backdrop, with UK and European regulators driving the social impact and sustainable finance agenda.
  • Multi-trillion-dollar opportunity for companies – and investors – to deliver innovative products and services focused on providing solutions to achieve the SDGs.

What will the fund invest in?

  • At least 80% of the fund is invested in the shares of companies from anywhere in the world, including emerging markets. The fund usually holds shares in fewer than 40 companies.
  • The fund invests over the long term in companies that meet the fund’s environmental, social and governance (ESG) criteria and impact criteria.
  • The fund manager expects at least 80% of the fund to be invested in sustainable investments (min. 30% in social and 30% in environmental).
  • The fund seeks to make positive impacts across six key social and Environmental impact areas, each mapped to the UN’s Sustainable Development Goals.
  • We look for three different types of company, providing diversification  across industries, end-markets and maturity of business model. We call these ‘Pioneers’, ‘Enablers’ and ‘Leaders’.

Fund Facts

31 March 2024 £226.43 million
Fund launch date 20 November 2018
Benchmark* MSCI ACWI Index
Sector IA Global sector

Source of fund facts: M&G as at 31.03.24

*The benchmark is a target which the fund seeks to outperform. The index has been chosen as the fund’s benchmark as it best reflects the scope of the fund’s investment policy. The benchmark is used solely to measure the fund’s performance and does not constrain the fund's portfolio construction. The fund is actively managed. The fund has complete freedom in choosing which investments to buy, hold and sell in the fund. The fund’s holdings may deviate significantly from the benchmark’s constituents.

The value and income from the fund’s assets will go down as well as up. This will cause the value of your investment to fall as well as rise. There is no guarantee that the fund will achieve its objective and you may get back less than you originally invested.

The fund can be exposed to different currencies. Movements in currency exchange rates may adversely affect the value of your investment.

The fund holds a small number of investments, and therefore a fall in the value of a single investment may have a greater impact than if it held a larger number of investments.

Investing in emerging markets involves a greater risk of loss due to greater political, tax, economic, foreign exchange, liquidity and regulatory risks, among other factors. There may be difficulties in buying, selling, safekeeping or valuing investments in such countries.

Further details of the risks that apply to the fund can be found in the fund's Prospectus.

The fund invests mainly in company shares and is therefore likely to experience larger price fluctuations than funds that invest in bonds and/or cash.

M&G Positive Impact Fund

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For financial advisers only. Not for onward distribution. No other persons should rely on any information contained within. This financial promotion is issued by M&G Securities Limited which is authorised and regulated by the Financial Conduct Authority in the UK and provides ISAs and other investment products. The company's registered office is 10 Fenchurch Avenue, London EC3M 5AG. Registered in England and Wales. Registered Number 90776.