Why investing in listed infrastructure?
- Infrastructure is the backbone of the economy that keeps the world running
- Income from infrastructure companies is often linked to inflation
- In 2022 the fund has been regranted the Towards Sustainability label in Belgium
- The fund invests in themes with underlying structural growth
Why now?
- We believe listed infrastructure has the potential to provide reliable and sustainability focused long-term growth
- Companies are paying increasing attention to ESG credentials in their efforts to become better businesses, both from a financial perspective as well as looking to ensure sustainability
- Fiscal expansion in the wake of COVID-19, including higher spending on infrastructure, may provide a favourable backdrop for the asset class
Investing aligned with Sustainable Development Goals (SDGs)
As infrastructure plays such a vital role in society, we believe many of the critical infrastructure assets in which we invest (via listed securities) can support a number of the UN’s Sustainable Development Goals (SDGs).
“Infrastructure, in particular, underpins all of the SDGs. It plays a critical role in society because it can influence development far into the future –both positively and negatively. This is why it is vital to understand the influence that infrastructure systems have on the SDGs.”
Source: ‘Infrastructure: Underpinning sustainable development’, The United Nations Office for Project Services (UNOPS), 2018
17 Sustainable Development Goals (SDGs)
Portfolio threshold: At least 70% of AUM aligned to SDGs
Source: M&G Investments
*While we support the UN SDGs, we are not associated with the UN and our funds are not endorsed by them.
Source: M&G Revenue mapping (per 26 August 2022)
Discover more about the M&G (Lux) Global Listed Infrastructure Fund
Alex Araujo, fund manager of the M&G (Lux) Global Listed Infrastructure Fund, provides an update on the strategy and offers a general overview of current opportunities in the midst of this inflationary environment.
The information provided should not be considered a recommendation to purchase or sell any particular security.
The fund invests in the foundations of a modern society – from the physical assets that provide our water, energy and transportation needs, to the education and healthcare facilities that foster our society, and the communications networks that connect us in an increasingly digital world.
Our global approach seeks out opportunities in both the developed and the developing world, with a resolute focus on long-term stability and inflation-protected growth in an asset class with breadth, depth and liquidity.
The fund aims to provide a combination of capital growth and income to deliver a higher return than the global equities market over any five-year period; and an income distribution that increases every year in US dollar terms. The fund seeks to achieve its financial objectives while applying ESG Criteria and Sustainability Criteria.
At least 80% of the fund is invested in the shares of infrastructure companies and investment trusts of any size and from anywhere in the world, including emerging markets. The fund usually holds shares in fewer than 50 companies. The fund invests in securities that meet the ESG Criteria and Sustainability Criteria. Norms-, sector- and/or values-based exclusions apply to investments. The Fund promotes Environmental/Social (E/S) characteristics and while it does not have as its objective a sustainable investment, it will have a minimum proportion of 51% of sustainable investments.
The fund is actively managed and its benchmark is the MSCI ACWI Net Return Index. The benchmark is not an ESG benchmark and is not consistent with the ESG Criteria and Sustainability Criteria. The benchmark is a comparator used solely to measure the fund’s performance and does not constrain portfolio construction. The benchmark has been chosen as it best reflects the scope of the fund’s investment policy. The fund is actively managed. The investment manager 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.
You can find Fund’s sustainability-related disclosures here.
See our glossary for more information on the financial terms used.”
| This is a marketing communication. Please refer to the prospectus and to the Key information document (KID) before making any final investment decisions. |
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 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.
The fund can be exposed to different currencies. Movements in currency exchange rates may adversely affect the value of your investment.
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.
ESG information from third-party data providers may be incomplete, inaccurate or unavailable. There is a risk that the investment manager may incorrectly assess a security or issuer, resulting in the incorrect inclusion or exclusion of a security in the portfolio of the fund.
Further details of the risks that apply to the fund can be found in the fund's Prospectus.