Sustainable investment objective of the fund
The fund has two aims:
- Financial objective: to provide a higher total return (the combination of capital growth and income) than that of the global equity market over any five-year period; and
- Impact objective: to invest in companies that have a positive societal impact through addressing the world’s major social and/or environmental challenges.
How the fund meets its sustainable investment objective
The fund applies ESG Integration. ESG integration is the systematic inclusion of ESG factors in investment analysis and investment decisions.
The fund is categorised as Planet+ / Impact.
- Planet+: In addition to applying ESG integration, the fund has a minimum set of norms-based, values-based and sector-based exclusions and seek to deliver on ESG and Impact objectives and outcomes in addition to its financial objective.
- Impact: the fund aims to invest in companies that deliver material, measurable positive societal impacts by addressing the world’s major social and environmental challenges, while generating competitive economic returns.
The fund invests in securities that meet the ESG Criteria and Impact Criteria.
The fund invests in three categories of positive impact companies:
- "Pioneers", whose products or services have a transformational effect on society or the environment;
- "Enablers", which provide the tools for others to deliver positive social or environmental impact; and
- "Leaders", which spearhead the development of sustainability in their industries.
Sustainability and impact considerations are fundamental in the stock selection process. Companies are assessed on their investment credentials and ability to deliver positive social and/or environmental impact, based on M&G’s impact assessment methodology.
The benchmark of the fund is the MSCI ACWI Net Return Index. It is a comparator against which the fund’s performance can be measured. The benchmark is not an ESG benchmark and is not consistent with the ESG Criteria and Impact Criteria.
Further information on the exclusions applicable to the fund and on the methodologies used to assess, measure and monitor the sustainable investment objective of the fund can be found in the ESG Criteria and Impact Criteria.
A description of ESG and responsible investment terms used is available in the fund’s Prospectus.